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illuminem summarises for you the essential news of the day. Read the full piece on POLITICO or enjoy below:
🗞️ Driving the news: The EU is facing growing pressure to defend its carbon border adjustment mechanism (CBAM) as trade tensions dominate COP30
• Developing countries are challenging the measure, which will impose carbon tariffs starting January 1, arguing it could be a protectionist move, disrupting global cooperation
🔭 The context: CBAM is part of the EU’s broader strategy to reduce carbon emissions, targeting sectors such as steel, cement, and electricity
• While designed to prevent carbon leakage and ensure that industries outside the EU do not have an unfair advantage, the levy has sparked pushback from major trading partners, including China and India, who fear it could distort trade
🌍 Why it matters for the planet: The CBAM is a pivotal tool in the EU’s climate strategy, potentially setting a global precedent for carbon pricing
• However, its effectiveness in tackling climate change without creating economic and trade rifts remains in question
• If implemented, it could accelerate global efforts to align carbon prices, but it risks triggering trade conflicts, especially with emerging economies
⏭️ What’s next: The EU is expected to continue defending CBAM as a vital step for climate action while navigating the complex trade landscape at COP30
• However, the success of the mechanism will depend on global cooperation and whether it can be integrated into international trade norms without sparking backlash from key partners
💬 One quote: "All parties need to cooperate to avoid unilateral measures that might damage international collaboration," said Liu Zhenmin, China’s climate envoy
📈 One stat: The carbon border adjustment mechanism will begin enforcing carbon tariffs on January 1, 2026
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