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Trump’s latest climate change regulation rollback jolts Asia
Move hands China greater influence in green diplomacy, markets, but comes at peril of greater global warming
Bayani Cruz   13 Feb 2026
Lee Zeldin, US EPA administrator
Lee Zeldin, US EPA administrator

As Asia grapples with intensifying floods, heatwaves and sea-level rise, the Trump administration’s revocation of a cornerstone US climate policy could amplify these threats, while handing China greater influence in global green diplomacy and markets.

The move, finalized on February 12 2026, repeals the Environmental Protection Agency ( EPA )’s 2009 “endangerment finding”, which declared that greenhouse gases like carbon dioxide are a danger to public health, paving the way for unchecked US emissions and potentially derailing international efforts to curb global warming.

This action could add billions of tonnes of emissions worldwide, experts warn, disproportionately burdening vulnerable Asian nations like India, Bangladesh and Vietnam, where climate disasters already displace millions annually.

The policy shift eliminates federal standards for vehicle emissions immediately and sets the stage for dismantling rules on power plants and oil and gas operations.

US President Donald Trump hailed it as “the single largest deregulatory action in American history”, claiming it saves consumers money by rejecting what he called a “giant scam” from prior administrations.

EPA administrator Lee Zeldin echoed this, labelling the finding “the Holy Grail of federal regulatory overreach”.

Critics, including former EPA head Gina McCarthy, decry it as prioritizing fossil fuels over public safety, predicting court battles that could delay implementation as organizations like Earthjustice and the Environmental Defense Fund filed lawsuits almost immediately following the February 12 announcement.

The ultimate “jolting” of Asia depends on whether these rules survive the US judicial system, which currently leans towards a strict interpretation of the Clean Air Act that favours deregulation.

Asia impact

For Asia, the environmental fallout looms large. Without US regulations, American emissions could surge by 10 billion to 18 billion tonnes over three decades – equivalent to three years of current US output – fuelling more severe typhoons, droughts and agricultural disruptions across the region.

Low-lying areas in South and Southeast Asia face heightened flood risks, with scientists noting the evidence for human-caused warming is “beyond dispute”. India, already battling extreme heat, could see increased food insecurity, while Pacific islands risk submersion.

Diplomatically, the US retreat – following its early 2026 exit from the UN climate framework, making it the sole non-participant – erodes Washington's credibility, creating a vacuum China is poised to fill.

Beijing has reaffirmed its carbon goals despite US pressure, positioning itself as a reliable partner in forums like the Association of Southeast Asian Nations.

“The US risks losing trust among allies,” notes a World Resources Institute analysis, as nations like Japan and South Korea may pivot towards China for climate collaboration.

Economically, the rollback hampers US competitiveness in clean tech, benefiting Asian giants. Stalled electric vehicle ( EV ) adoption in America – stuck at 10% market share and declining – contrasts with adoption in China where EVs have a 50% share, selling 13 million EVs in 2025 alone.

The US retreat could lead to Asian markets being flooded with affordable Chinese exports, boosting Beijing’s economy, while US firms face US$26 billion in EV investment losses. Cheaper US fossil fuels might increase Asia’s short-term reliance, but long-term climate costs could raise energy prices amid disruptions.

Security-wise, climate as a “threat multiplier” could strain US-Asia alliances, exacerbating resource conflicts and migration. While legal challenges may temper effects, the policy signals a multipolar climate era in which Asia, led by China, gains sway, but this comes at the peril of unchecked global warming.

As Trump boasts of fossil fuels lifting billions from poverty, Asia braces for a hotter, more unstable future.