Virus Era Threatens Europe’s War on Dirty Imports
The EU wants to penalize less green producers selling into its market. Now tension over trade means a planned levy may end up just being symbolic.
Called the “carbon border adjustment mechanism,” a proposal for a charge on selected products like cement and electricity is being drafted by the European Union.
Photographer: Dhiraj Singh/BloombergEurope’s plan to put a price on dirtier imports risks getting caught up in global trade tensions as the fallout from the coronavirus pandemic eclipses climate change as the biggest challenge for governments.
Called the “carbon border adjustment mechanism,” a proposal for a charge on selected products like cement and electricity is being drafted by the European Union after leaders of the 27 member states agreed to press ahead. Companies in the bloc see the measure to tackle imported carbon emissions as a way of shielding against cheaper, less green rivals. But now there’s a growing consensus that it may not even happen.