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TRANSFORMING ECONOMIES: How Is the Green Transition Shaping Trade and Industrial Policies? A Focus on Morocco

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  • Rim Berahab

Abstract

Green industrial policies are essential to enable the structural transformations needed for a successful transition to a low-carbon economy. Because of the pressing need to decouple economic growth from environmental degradation, it is imperative to reallocate resources strategically from carbon-intensive sectors to sustainable, high-productivity industries. This transition is critical both to mitigate the impacts of climate change and to promote long-term economic growth and sustainability. This paper examines Morocco’s green transition and identifies several key issues that must be addressed to ensure success. These include the need for a coherent institutional framework, the implementation of effective regulatory measures, and greater private-sector involvement. Furthermore, the analysis highlights the importance of regional collaboration, innovation, and research and development in overcoming challenges to a sustainable transition. It also analyses the European Union’s Carbon Border Adjustment Mechanism (CBAM) as a case study of how trade policies can be used to encourage decarbonization and align international trade practices with environmental objectives.

Suggested Citation

  • Rim Berahab, 2024. "TRANSFORMING ECONOMIES: How Is the Green Transition Shaping Trade and Industrial Policies? A Focus on Morocco," Research papers & Policy papers on Commodities & Energy 2416, Policy Center for the New South.
    • Handle: RePEc:ocp:rpcoen:pp_13-24
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    1. Rodrik, Dani, 2004. "Industrial Policy for the Twenty-First Century," CEPR Discussion Papers 4767, C.E.P.R. Discussion Papers.
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