Book excerpt: This edition examines the physical impacts of climate change and their effects on developing country economies and trade; the vulnerabilities of developing countries to climate change; costs and finance for climate change adaptation; and ways that developing countries can enhance their trade-climate readiness, i.e., enhance the resilience of their trade to climate change through adaptation actions and economic diversification. Special attention is given to examining the challenges faced by the poorest and most vulnerable developing countries, specifically the least developed countries (LDCs) and small island developing states (SIDS).