Carbon Border Adjustment Mechanism (CBAM) 2023
The Carbon Border Adjustment Mechanism (CBAM), addresses the carbon costs paid by EU that adhere to the EU Emissions Trading System (ETS). This experiment is a step towards climate change regulation to tackle carbon leakage. There is a chance of so-called "carbon leakage" as the EU increases its own climate ambition and as long as many non- EU nations continue to have less restrictive climate policies.
