The European Parliament finalized legislation Tuesday that will impose taxes on imports based on the greenhouse gas emissions made during their production, despite the objections raised by companies in the U.S. and China.
The European Union’s (E.U.) Carbon Border Adjustment Mechanism (CBAM) would first take effect in 2026, and first cover emissions from companies producing iron, steel, cement, aluminum, fertilisers, electricity and hydrogen, according to the European Parliament. The taxes have been criticized by firms in the U.S., who are concerned about unnecessary regulation and red tape, and firms in China and the developing world, who use less green sources of energy than competitors in the U.S. and E.U., according to the Wall Street Journal.
Read More