Carbon NewsEU’s Carbon Tariffs Might Not Work for the US

EU’s Carbon Tariffs Might Not Work for the US

The EU recently released plans to tax carbon imports coming into the union. As such, any goods coming in would be taxed as if it was produced in a member state. However, the US is not convinced when it comes to the method of carbon tariffs.

The EU aims to be carbon neutral by 2050. The international community sees this goal as quite adventurous. BRICS countries in specific had “grave concern” regarding the EU’s plans to reduce carbon emissions. Many less developed countries also would have trouble following the EU’s path.

Previously, the US stated how such a proposal would be difficult to implement in the US. As well, carbon border tariffs would be considered a last resort option for the US. If the US were to implement border tariffs, it could incentivize countries to stop trading with high carbon tax countries. This would not bode well for climate change due to trade being shifted towards countries with fewer tariffs. Therefore, high emissions goods and services will continue being traded for low prices.

The border pricing mechanisms are being heavily pursued by the EU, but it would take 2 years to implement the legislation. The fight against climate change however will require every method possible.



Most Popular



Ultimate Guide



Loading...



LATEST CARBON NEWS

A Battery ‘2X Better’ than Tesla’s Is Reshaping the $90B Home Power Storage Market

Disseminated on behalf of StorEn. Demand for home energy storage is booming, with up to 47% of US homes expected to have rooftop solar installations...

Why Madsen Will Work This Time: A Smarter Start for a Legendary Gold Mine

Disseminated on behalf of West Red Lake Gold Mines Ltd. The Madsen Mine, located in Ontario’s renowned Red Lake gold district, has a legacy of...

France’s New Law to Curb Fast Fashion Carbon Footprint: A Closer Look at SHEIN, Temu, and Inditex

The French Senate has approved a new legislation that puts strict rules on ultra-fast fashion brands like SHEIN and Temu. This bill bans ads...

BP Halts Indiana Carbon Capture Project Amid Safety and Economic Concerns

BP has indefinitely paused its carbon capture and storage (CCS) project in Indiana. The plan, aimed at making the state a hub for low-carbon...
CARBON INVESTOR EDUCATION

Planting Trees for Carbon Credits: Everything You Need to Know

As climate change intensifies, nations and industries are seeking innovative ways to cut carbon footprints. Carbon credits have emerged as a key tool in...

What is SMR? The Ultimate Guide to Small Modular Reactors

Energy is the cornerstone of modern life. We need electricity for healthcare, transportation, communication, and more. Many countries are choosing nuclear power because it...

What Is Carbon Dioxide Removal? Top Buyers and Sellers of CDR Credits in 2024

The world must remove 5–16 billion metric tons of CO₂ annually by 2050 to limit global warming to 1.5°C. But with emissions still rising,...

Top 5 Carbon ETFs for Sustainable Investing in 2025

Like stocks, investors can buy and sell Exchange-Traded Funds (ETFs) whenever the market is open. Often investing in carbon credits through ETFs offers a...