United Kingdom to implement carbon border tax on Iron from 2027
Current Hunt Team
United Kingdom to implement carbon border tax on Iron from 2027.
After the European Union, the United Kingdom government has decided to implement carbon border tax on iron, steel, aluminium, ceramics and cement from 2027.
The amount of tax will depend on the amount of carbon emitted in the production of the imported goods and the gap between the carbon price in the UK and the country of origin.
The levy of tax will make sure carbon intensive products like steel and ceramics from other countries face a comparable carbon price to those produced in the UK.
This will give confidence to UK industry to invest in decarbonisation.
India has opposed the EU’s carbon border adjustment mechanism (CBAM) and lodged a protest at WTO.
India argued that this step is against the differentiated approach for developing countries and is not according to the WTO rules or the UN framework.
