On 15/03/2022 the Council of the EU reached an agreement on the Carbon Border Adjustment Mechanism (CBAM). The European ministers were able to find a common position on a general approach. This is an important step towards the implementation of the ambitious CBAM regulation.
What is CBAM?
CBAM is a mechanism that will target imports of carbon-intensive products. It is one of the key components of the European Union’s ‘Fit for 55’ package. CBAM is meant to complement the EU Emissions Trading System (ETS) and addresses the risk of carbon leakage. The products covered under the CBAM proposal are iron and steel, aluminium, fertilisers, cement and electricity.
Source PwC
