The final awakening: Race to zero carbon economy receives significant boost from two major forces

US and China's change in tune a breath of fresh air

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Randeep Somel of M&G Investments
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Randeep Somel of M&G Investments

At COP 21 in Paris, held on 12 December 2015, parties to the United Nations' (UN) Framework Convention on Climate Change reached a landmark agreement to combat climate change and to accelerate and intensify the actions and investments needed for a sustainable low carbon future.

While signing the deal was a very positive first step, shortly afterwards China had not yet set national targets for carbon neutrality and the US saw a change in President: Donald Trump. Trump was not a supporter of the Paris Climate Deal and vowed to take the US out of the agreement. This left the deal in an ominous position with the world's two largest carbon emitters - China at 28% and the US at 15% (see below) - still not fully engaged. However, come 2020, and in the space of six weeks the future of the Paris Climate Deal was transformed by two significant events. Xi Jinp...

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