India and South Korea expand cooperation on carbon markets and climate

India and South Korea agreed on April 21, 2026 to deepen cooperation on climate action, marine ecosystems and Article 6.2 carbon trading under the Paris Agreement. The bilateral track for high-integrity carbon credits and clean-tech investment opens new market and decarbonisation opportunities for Indian companies.

During a high-level engagement on April 21, 2026, India and South Korea agreed to strengthen bilateral cooperation on sustainability, climate action and marine ecosystem preservation. The framework centres on implementing Article 6.2 of the Paris Agreement to facilitate carbon-credit transfer and foster high-integrity carbon markets between the two countries, lowering decarbonisation costs while meeting their respective Nationally Determined Contributions. The agreement outlines specific cooperation in green hydrogen and renewable energy infrastructure, alongside a marine pillar focused on reducing plastic pollution and protecting biodiversity in the Indo-Pacific region.

The cooperation extends to private-sector engagement, with both governments pledging to incentivise cross-border investment in clean technology, battery storage solutions and electric-vehicle supply chains, effective immediately. Indian renewable energy developers, EV and battery manufacturers, green-hydrogen ventures and carbon-project developers are positioned to benefit from joint ventures that pair South Korea's technological capabilities with India's market scale. Entities engaged in carbon trading gain a bilateral channel for high-integrity credits, while blue-economy and marine-research participants can access joint R&D on ocean-based carbon sinks.

Companies should monitor the operational details of the Article 6.2 bilateral carbon-trading track, including credit-transfer rules and high-integrity standards, as these define eligibility for cross-border credits. Indian clean-tech firms should explore the pledged joint ventures in battery storage and EV supply chains, and green-hydrogen developers should track cooperation agreements. Marine and blue-economy stakeholders should follow joint R&D initiatives on plastic pollution and biodiversity. Investors should watch for the streamlined regulatory pathways for green investment that both governments have committed to develop under the partnership.

Key figure — Cooperation framework: Article 6.2 of the Paris Agreement