Climate talks highlight shortcomings in global efforts

Significance

Washington has re-joined the Paris agreement and announced new climate commitments, but still faces a credibility gap. It must demonstrate by November’s COP26 summit, how it can meet its new goals.

Impacts

• Private sector companies will face increasing pressure to set net-zero targets.
• The use of natural gas as a transition fossil fuel will face greater scrutiny as pressure for drastic climate action increases.
• Fossil fuel subsidy reform is likely to return to G20 priorities after having been neglected during the US Trump administration.