Imports of steel, aluminium, cement and fertilisers into the European Union will face carbon charges from 1 January 2026 under the Carbon Border Adjustment Mechanism (CBAM), aligning import costs with the EU’s internal carbon market.
The policy aims to prevent carbon leakage and protect EU manufacturers subject to stricter climate rules, but has drawn criticism from major trading partners.
Key developments:
• US Energy Secretary Chris Wright urged the EU to withdraw CBAM, calling it a trade barrier.
• China, India, Russia and South Africa argue it is protectionist and may breach WTO rules.
• Egypt has requested an exemption and is considering a domestic carbon tax.
• Importers must buy CBAM certificates priced around €70–€100 per tonne of CO₂.
• The Commission expects around €1.5bn in CBAM revenue by 2028 and has proposed a support fund for EU industry.
EU officials say the measure will encourage cleaner global production and safeguard fair competition.
ℹ️ euronews
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