Manchin Eyes Tax on Carbon-Intensive Imports in Energy Package

  • Bipartisan Senate group working on climate, energy proposal
  • Tax would hit goods with carbon-intensive production processes

Joe Manchin

Photographer: Jim Lo Scalzo/EPA/Bloomberg

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Senator Joe Manchin and other lawmakers are weighing a border adjustment tax that would slap a levy on imports of carbon-intensive goods from countries with weaker climate policies as they work on a potential bipartisan energy and climate package.

The concept, which also has drawn interest from the Biden administration, would place tariffs on fossil fuels and products such as cement and steel to prod countries that are moving too slowly to cut their greenhouse gas emissions. Manchin said he is promoting a North American zone that includes Canada and Mexico.