In Focus: The EU Carbon Border Adjustment Mechanism

The European Union recently put into place a carbon border adjustment mechanism, which imposes a fee on imported goods based on the amount of greenhouse gases emitted during production of those goods. Now, as the 28th Conference of the Parties (COP28) continues into its second week, and similar bills are introduced in the US Congress, international interest in climate and trade policies is at the fore. Milan Elkerbout, a fellow at Resources for the Future, discusses the EU Carbon Border Adjustment Mechanism and the potential effects of the policy within the European Union and abroad.