Developing countries are facing setbacks due to deteriorating U.S.-China relations, which exacerbate their debt crises and limit investments in green energy and infrastructure.

The trade war between these two nations is hindering necessary collaboration for decarbonization efforts.

The ongoing lack of cooperation between the U.S. and China, the world's largest greenhouse gas emitters, poses a significant threat to global climate change efforts.

China has restricted exports of rare minerals crucial for green technologies, while the U.S. has imposed high tariffs on Chinese goods, further intensifying trade tensions.

The U.S. Inflation Reduction Act aims to boost domestic green manufacturing but excludes products linked to China, potentially compromising global cooperation in climate initiatives.

Protectionist trade policies are raising costs for green technologies, slowing the transition from fossil fuels and increasing economic inequality.

Tim Sahay, co-director of the Net Zero Industrial Policy Lab, warns that ongoing trade conflicts could lead to significantly increased prices for consumers.