The return of Donald Trump for a second term as US President has raised concerns about the course of climate action the country will take under him. In its first term, the United States cast a shadow over global climate efforts by announcing its intention to withdraw from the Paris Climate Agreement.

Trump has criticized climate finance mechanisms such as the Green Climate Fund, labeling them as wealth redistribution schemes that disadvantage the United States, and has become a supporter of fossil fuels. He said that he would increase oil production in the country after winning the elections.

The USA is the largest carbon emitter after China. There were concerns that it could repeal the Inflation Reduction Act of 2022, landmark legislation to support low-carbon technologies, electric vehicles and batteries.

“Trump’s victory is a profound blow to global climate justice and an alarming increase in climate risk for the world’s most vulnerable communities. His drive to increase fossil fuel production, his disregard for international agreements and his refusal to provide climate finance will deepen the crisis further, Climate “This puts lives and livelihoods at risk, especially in regions that are least responsible for, but most affected by, climate change,” said Harjeet Singh, activist and Director of Global Engagement at the Fossil Fuel Nonproliferation Treaty Initiative.

Trump’s return signals a US retreat from climate finance obligations and comes ahead of COP29 climate talks starting next week in Baku, where countries are expected to agree on new climate finance targets.

“Climate change is real and the need for global action and cooperation remains a paramount imperative. Although past experience has not been encouraging, hope should remain for Trump’s next Presidency. We hope they will find ways to do things that support climate action. Innovation and technological advancement are very valuable to the President-elect,” said Manjeev Puri, TERI Distinguished Fellow.

Experts expect the US to cut climate funding with Trump’s return.

“A cut in public spending on climate action can be expected, or even the end of inflation-reduction legislation in the US that encourages the development and adoption of low-carbon technologies. The US’s $3 billion commitment to the Green Climate Fund may also be reversed. The US Government’s bilateral financial support for climate action to developing countries may be significantly curtailed. “Banks and financial institutions may be warned by the Government not to advocate for climate action and may be forced to continue providing capital to the fossil fuel industry,” said Labanya Jena, Sustainable Finance Expert.