carbon tax

factory pollution

China likely to be most affected by the EU’s new Carbon Border Adjustment Mechanism

Alicia García Herrero (Natixis) | On 13th December 2022, the EU passed a deal to set up a Carbon Border Adjustment Mechanism (CBAM) to arrest the carbon leakage problem and further support the energy transition. Carbon leakage in this context equates to the scenario that EU countries import carbon-intensive products from countries where carbon emissions are not taxed. More specifically, under CBAM, EU firms will need to pay the difference…

Carbon emissions

The EU Wants A Carbon Tax On Imports – But Would It Be The Climate Solution Officials Expect?

Timothy Hamilton via The Conversation | The European Union is considering a new tax on imports as it tries to fight climate change, and the U.S. is raising concerns about it. At issue is what’s known as a border adjustment carbon tax. The tax is designed to level the playing field for European companies by holding imports responsible for their greenhouse gas emissions the same way domestically produced products are.