Clean Competition Act
Sponsored By: Representative Rep. DelBene, Suzan K. [D-WA-1]
Introduced
Summary
This bill would create a national system that charges goods for their greenhouse‑gas intensity, using a __carbon‑intensity charge on imports and domestic production__ to steer industry and trade. It also funds clean domestic manufacturing and sets up international "carbon clubs" to align standards and trade rules.
Show full summary
- Domestic manufacturers and eligible facilities must report emissions and production data by June 30, 2026 and annually, and could face per‑unit charges based on their carbon intensity versus industry baselines. The Department of Energy would run a production‑support program with a $75.0 billion appropriation in FY2027 to pay lower‑carbon producers.
- Importers and foreign manufacturers would face carbon‑intensity charges for primary imports after 2025 and for finished‑goods inputs effective for calendar years after 2026. Default import intensity uses a country‑level emissions‑per‑GDP method, though foreign manufacturers may petition to use verifiable facility or industry data.
- The President may negotiate "carbon‑club" agreements that offer trade preferences and interoperable verification, require worker‑rights protections, and provide targeted credits or waivers for qualifying low‑ and middle‑income countries with progression toward full participation within 10 years. The State Department receives $25.0 billion in FY2027 for climate and clean‑energy assistance linked to these priorities.
*Authorizes at least $100.0 billion in FY2027 in new appropriations ($75.0 billion DOE and $25.0 billion State), with later-year funding tied to revenues generated by the new carbon‑intensity charge.*
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Bill Overview
Analyzed Economic Effects
3 provisions identified: 1 benefits, 0 costs, 2 mixed.
DOE low-carbon industry contracts
The bill would create a competitive contracts-for-difference and investment program at the Department of Energy to support lower-carbon industrial production. It would fund $75 billion for fiscal year 2027 and then use a revenue-linked formula for later years (0 if Treasury revenues from the program rise by at least $100 billion in a year, otherwise 25% of the revenue increase). Contracts must meet at least 20% carbon-intensity reductions for existing sites, pay prevailing wages, include community benefits, and winners would be chosen through auctions. Projects must provide at least a 50% cost share, and funds can be recaptured if milestones or long-run results are not met; the Secretary must report program results to Congress by January 1, 2032.
New carbon fee on covered goods
This bill would create a new per-unit carbon-intensity charge on covered primary goods and some finished goods. Import and domestic producer charges would start for goods from calendar years after 2025, and finished-goods component charges apply for goods from calendar years after December 31, 2027. The charge uses each product or facility carbon intensity versus a 2025 industry baseline, a year-by-year applicable percentage schedule (100% in 2026, then phased down through 2047 to 0%), and a dollar "cost of pollution" that starts at $60 in 2026 and rises each year by CPI plus 6 percentage points. The bill would require reporting by facilities (first due June 30, 2026), set import carbon-intensity rules (default country scaling, country or manufacturer data petitions), and set staged finished-good thresholds by weight and value for 2028–2029 and 2030–2031 with lower limits after 2031. It would let covered entities reduce charges using verified direct-air-capture removals (with storage/use limits and a cap tied to first-quartile industry intensity), allow export refunds treated as overpayments (reduced if an importing country would credit the charge), exclude some least-developed-country imports unless they account for ≥3% of global exports for that good, and give the Treasury Secretary rulemaking and coordination authority.
International carbon-club deals and aid
The bill would let the President negotiate "carbon-club" agreements that let imports from compliant countries avoid U.S. charges if those countries use compatible measurement, reporting, and verification, protect worker rights per the ILO Declaration, and adopt domestic policies that lower industry carbon intensity. Member countries may phase in industries but must cover all listed industries within 10 years. The bill would also fund $25 billion for the State Department in fiscal year 2027 to help negotiate and support these agreements and related clean-energy assistance; later-year funding would follow the same Treasury revenue-linked formula used for DOE support.
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Sponsors & CoSponsors
Sponsor
Rep. DelBene, Suzan K. [D-WA-1]
WA • D
Cosponsors
Rep. Beyer, Donald S. [D-VA-8]
VA • D
Sponsored 12/17/2025
Rep. Castor, Kathy [D-FL-14]
FL • D
Sponsored 12/17/2025
Rep. Bera, Ami [D-CA-6]
CA • D
Sponsored 12/17/2025
Rep. Chu, Judy [D-CA-28]
CA • D
Sponsored 12/17/2025
Rep. Panetta, Jimmy [D-CA-19]
CA • D
Sponsored 12/17/2025
Rep. Doggett, Lloyd [D-TX-37]
TX • D
Sponsored 1/16/2026
Roll Call Votes
No roll call votes available for this bill.
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