Global | Trump's return: a shift in climate policies

Summary

This past week marked Donald Trump's inauguration for his second term as president. This was an expected event following the official confirmation of the results that secured the Republican’s victory.

Key points

• Key points:
• Although he hinted, in his inaugural speech, at the path to be followed over the next four years, and although new executive orders are being issued, the future of climate and environmental policies in the country remains uncertain.
• “Drill, baby, drill.” With this phrase, Trump signaled that hydrocarbon extraction will be central in his second term, prioritizing the country's energy independence.
• Restrictions on natural gas exports imposed during the Biden administration will be lifted, while the deregulation efforts from Trump's first term—aimed at facilitating hydrocarbon extraction on federal lands, including national parks in Alaska—will resume.
• He also indicated plans to cut government spending, which has a direct impact on the Inflation Reduction Act (IRA) of 2022, the largest climate investment in U.S. history to date.
• Although Trump decided, in his first hours as president, to withdraw from the Paris Agreement for a second time, there may be nuances to not giving ground on a climate agenda in which China is increasingly positioning itself as a key player, especially in industries such as supply of solar panels, batteries and electric vehicles.

Geographies

Topics

Tags