Cap-and-trade, as well as, other CO2 taxes, have been going on in the rest of the world. There has been much speculation on how the United States would deal with this economic quandary. Canada, the European Economic Union, China and India have all been interacting with the U.S. on the matter without much success.
A surprise carbon tariff comes from the state of Minnesota. The tax would not impact foreign countries as much as it would impact their neighboring state, North Dakota. The plan tax is between $4 and $34 per ton of carbon dioxide emissions and is to be added to the cost of coal-fired electricity.
North Dakota is mounting a legal battle against Minnesota because most of North Dakota’s electricity exports are from coal-fired plants.