Trade Impacts of the EU Carbon Border Adjustment Mechanism and Emissions Trading System
ETS Elite Express Holding Inc
$1.49 +0.68%
View chart & analysis → - 1The EU will introduce the Carbon Border Adjustment Mechanism (CBAM) in 2026.
- 2Despite carbon pricing through the Emissions Trading System (ETS) introduced in 2003, imports from within the EU increased.
- 3Angelo De Santis and colleagues confirmed that the increase in intra-EU imports for sectors affected by the ETS was much larger than for unaffected sectors.
So what's the key point?
The European Union is starting a system to charge for carbon emissions from 2026. This means that imports within Europe grew more significantly in sectors where carbon prices are set.
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