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European Nations Endorse Plan to Impose Carbon Imports Levy

  • EU members agree common stance on carbon border adjustment
  • Details on free carbon permits to be discussed at later stage
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European Union governments backed a proposal that would slap an import levy on iron and steel, cement and aluminum produced in countries with lower environmental standards as the bloc seeks to shield domestic producers during an ambitious green overhaul.

EU finance ministers decided on Tuesday on their negotiating stance for talks with the European Parliament about the so-called carbon border adjustment mechanism. Proposed by the European Commission in July as part of a massive green overhaul, CBAM would impose a penalty for bringing into the bloc emissions embedded in goods that also include fertilizers and electricity.