The Importance of Climate and Trade Integration at the Carbon Economics Salon in Shenzhen

On June 16, nearly a hundred scholars, policymakers, and industry representatives gathered in Shenzhen for the Carbon Economics Salon, an event that highlighted the intricate connection between climate and trade – a pressing issue for the Asia-Pacific region. Taking place just weeks before the APEC Forest Ministerial Meeting scheduled for July 27-28, this salon served as an essential platform to discuss the ecological transformations that lie ahead.

Organized by the Peking University HSBC Business School (PHBS) and the Institute for Carbon Neutrality at Peking University (ICN-PKU), the salon was themed "Overcoming Green Barriers in Carbon Economy Governance and Redesigning International Trade Rules." The discussions focused on three interconnected challenges: unilateral climate-related trade measures, the uneven development of CO₂ markets, and the growing significance of artificial intelligence in CO₂ governance. These topics are not only critical to the current discourse but also serve as anticipatory markers for the APEC agenda in November.

In their opening remarks, Piao Shilong, Vice President of PKU and Dean of ICN-PKU, along with Hai Wen, Vice Chairman of the PKU Council and Founding Dean of PHBS, emphasized the urgent need to establish an inclusive global CO₂ governance system. Wang Pengfei, Distinguished Professor at PKU and Dean of PHBS, advocated for more effective CO₂ pricing mechanisms and market-oriented methods. Their statements set a clear tone for the salon, highlighting the necessity of collaborative efforts in addressing climate challenges.

The keynote speech was delivered by Thomas J. Sargent, Nobel Laureate in Economic Sciences (2011) and Honorary Director of the PHBS Sargent Institute of Quantitative Economics and Finance. He remarked on the necessity of using current uncertainties to spur early investments into environmentally friendly research, development, emissions reductions, and forest conservation. Jiang Kejun, a professor and head of the research focus on Carbon Neutrality and Climate Change at HKUST (Guangzhou), described the period from 2030 to 2035 as a crucial window for China's energy transition, accelerated by rapid growth in renewable energy and electric vehicles. Wu Dengsheng, a professor at Shenzhen University, presented an overview of research in CO₂ economics, noting that China holds second place globally in the number of scientific publications.

Two roundtable discussion panels addressed the spread of unilateral climate measures and their implications for fairness in global trade, as well as collaborating with the Global South on CO₂ markets. Zhang Haibin, Distinguished Professor at PKU and Vice Dean of ICN-PKU, concluded the discussions, reiterating the need for ongoing interdisciplinary dialogue. The salon underscored that CO₂ governance is increasingly shaped by trade rules, technology, and international coordination, creating opportunities for further exchange between PHBS and ICN-PKU on global climate policies and China's dual-carbon goals.

As APEC economies prepare for their upcoming collaborations in climate-related matters, the insights shared at the salon will undoubtedly play a significant role in nurturing a unified approach to climate and trade integration in the Asia-Pacific region. The call for an inclusive framework, effective CO₂ governance, and collaborative international efforts was clearly articulated, setting a hopeful tone for the future of environmental policy in a trading world.