Carbon Tax Will Now Be Imposed on Importing Polluting Goods

Following a meeting held in Brussels, Belgium, members of the European Union (EU) have agreed to impose a world-first carbon dioxide emissions tariff on polluting goods imported into their territory from 2026 as part of their goal to reduce their emissions by 55% by 2030.

“It’s a major step forward in the fight against climate change,” says French finance minister Bruno Le Maire. “We’re making the effort to reduce carbon emissions in industry. We don’t want these efforts to be of no avail because we import products which contain more carbon.”

A “sizeable majority” of EU members supported the decision to add CO₂ emissions costs on imports of steel, cement, fertilizers, aluminum, and electricity. That way, European industries avoid price undercutting of goods produced in countries that have weaker environmental rules. For the EU to cut its emissions by 55% by 2030 from 1990 levels, major investments in green technologies like hydrogen are required, as well as the imposition of higher CO₂ costs on polluters.