This paper presents a critical strategic analysis of international carbon pricing and its environmental, economic, and social impacts. It examines and reviews the impact of carbon taxes and emissions trading systems (ETS) on the reduction of greenhouse gas (GHG) emissions, technological innovation, and structural change over the long term through systematic literature review and content analysis. This study also considers distributional equity, competitiveness, administrative capacity, and carbon leakage risk and concludes that a carbon price is not a pillar to be used to attain the level of decarburization that would be needed to meet international climate targets but a complementary pillar that should be combined with stronger regulatory, fiscal, and industrial policies. Global cooperation, better policy formulation, strategic revenue application, and emphasis on social equity are thus important in the effectiveness and legitimacy of carbon pricing at the international level.