EU Commission agrees on border mechanism to reduce greenhouse gas emissions

By Gokhan Ergocun

ISTANBUL (AA) - The EU Commission on Tuesday reached a provisional agreement on the Carbon Border Adjustment Mechanism (CBAM), which aims to reduce greenhouse gas emissions.

The mechanism will be active as of October 2023 and implement additional taxation on carbon-intensive imports, the commission's press release said.

Jozef Sikela, the Czech minister of industry and trade, said the mechanism is a key part of the EU's climate action.

"This mechanism promotes the import of goods by non-EU businesses into the EU which fulfil the high climate standards applicable in the 27 EU member states," he added.

The CBAM will cover iron and steel, cement, fertilizers, aluminum, electricity and hydrogen sectors and indirect emissions would also be included in the regulation.