Alice Hancock and Sylvia Pfeifer of The Financial Times report on the EU’s carbon tariffs.
- The European Union has passed a law that will levy tariffs on carbon-intensive products from countries outside of the EU.
- These tariffs will increase the barrier to entry for emerging economies, which will stunt development and hamstring climate progress.
- Rather than turning to green protectionism, the world should be looking to unleash free trade to meet our climate, energy, and economic goals.
“Adolfo Aiello, deputy director-general at Eurofer, says European steelmakers could face competition on multiple fronts: not just from ‘cheaper dirty steel’ but also ‘greener steel from third countries.’ The risk, he adds, is that the EU becomes ‘a demand centre for green steel’ with dirty steel being diverted elsewhere. The result, he says, ‘would be a net negative impact on the climate.'”
Read the full article here.