Karel De Gucht, Europe’s trade commissioner-designate, warned on Tuesday that a carbon border tax could lead to a “trade war” as he rejected a policy that had gained traction in Europe following last month’s disappointing Copenhagen summit on climate change.

Nicolas Sarkozy, the French president, has for months championed the idea that the European Union should levy an import tax on goods from countries that do not show similar ambition in fighting global warming.[Read More]