COP 30 Technology, Transition, and Trust – the role of trade and international cooperation for just & equitable industrial transition.

EU Emissions Trading System (ETS) and Carbon Border Adjustment Mechanism (CBAM)

The discussion began with the role of emissions trading schemes, particularly the EU ETS and the associated CBAM. Stegra is currently developing a new greenfield steel plant in Sweden, and Luisa Orre shared that long-term industrial investments require stability and predictability to keep the business case viable. She argued that carbon pricing through mechanisms like the EU ETS is one of the most effective drivers of industrial decarbonization. 

CBAM, which ensures that imported goods face the same carbon price as those produced in the EU, is intended to prevent carbon leakage. However, some developing and emerging economies view it as an unfair trade barrier. Shimukunku Manchishi highlighted how the measure could restrict market access for African nations, hindering economic development and its transition. He suggested that CBAM may serve EU competitiveness interests as much as climate objectives and argued instead for increased flexibility and greater recognition of developing countries’ needs for access to technology and finance.  Christophe Bellmann added that debates on carbon pricing must also address the desire of high-income countries to retain heavy industry and resist the economic logic of relocating production to regions with cheaper, cleaner energy, such as Africa or Latin America, which reflected political rather than economic considerations.  He also noted that the scope of impact for CBAM needs to be considered. He highlighted this with the focus on CBAM having a limited decarbonization impact in many developing countries and emerging economies, where a large share of the steel is consumed domestically and therefore will lie outside CBAM’s scope. Bellmann advocated for harmonized green standards as a complementary incentive to support global technology diffusion.

WIPO GREEN works directly on technology transfer and licensing, addressing operational barriers to using trade as a lever for industrial transitions. Peter Osken emphasized that although innovation ecosystems are generally stronger in the global north, significant innovation is also emerging in the global south. He stressed the importance of recognizing and supporting this capacity while also facilitating technology transfer from north to south. 

The role of partnerships

Per Andersson expanded the conversation on technology transfer, emphasizing the role of business-to-business cooperation and technical co-development in enabling the exchange of knowledge and technology across sectors. Something which he suggested would help build business resilience since strong partnerships and alliances become even more critical when the transition faces setbacks. Shimukunku Manchishi acknowledged the importance of partnerships but questioned whether cooperation alone is sufficient, suggesting that companies might need to be mandated to share new technologies. Christophe Bellmann agreed on the value of robust public-private partnerships but expressed concern that trade discussions have become increasingly polarized, resulting in an uneven patchwork of measures that often reflect national rather than global interests, for example, around green public procurement. 

Key takeaways 

The discussion underscored both some of the opportunities and the complexities involved in using trade to accelerate industrial decarbonization. While mechanisms such as the EU ETS and CBAM can incentivize emissions reductions, they also raise concerns around equality and competitiveness, particularly for developing and emerging economies.  All the panellists emphasized the need for effective technology transfer, strong public–private cooperation, and aligned global standards. The session highlighted the need for continued dialogue, clearer operational pathways, and strengthened partnerships to ensure that global efforts support all regions equitably.

Next steps