55% reduction in its net greenhouse gas (GHG) emissions by 2030 (compared to 1990 levels)
achieve climate-neutrality by 2050

a non-EU producer would be required to purchase a CBAM certificate for every tonne of CO2/CO2e (carbon dioxide or equivalent) emissions at a price that mirrors the carbon price under the EU’s Emissions Trading System (EU ETS).

By doing so, the EU aims to ensure that both imported and domestic goods are subjected to similar carbon pricing rules, thereby creating a level playing field.

that is, the risk of EU-based producers relocating to countries with relatively lax environmental standards to circumvent costs associated with stringent climate policies within the EU.
the EU asserts that CBAM will reduce the risk of emissions shifting to non-EU countries and of carbon-intensive goods flooding its economy, while encouraging other jurisdictions to enhance their decarbonisation efforts as well.

Kazakhstan in aluminium,
Georgia in fertiliser, and
India in the iron and steel sector, are likely to be impacted considering both emissions intensity of production and export dependence on the EU.

BRICS have argued that EU’s CBAM is a protectionist and discriminatory measure that also violates the United Nations’ ‘Common But Differentiated Responsibilities’ (CBDR) principle by ignoring the specific climate action trajectory adopted by countries.
to challenge CBAM’s compatibility with WTO (World Trade Organization) rules.

Developed economies like the United Kingdom, Australia, Canada and the United States of America have also expressed interest in implementing their own versions of CBAM, citing the risk of carbon leakage as the reason. Ideas for India

DTE - October 1-15, 2024

Electric Vehicles and the Global Automotive Trade Churn

EU Emission Targets: The EU decreed that only zero-emission vehicles can be sold from 2035, banning new petrol/diesel cars across member states.
US Targets & Tariffs: President Joe Biden set a target of 50% new vehicle sales to be electric by 2030. The US imposed a 100% duty on Chinese e-vehicles and restricted subsidies on vehicles using minerals/batteries from "foreign entities of concern" (China).
European Employment Impact: The automotive sector provides jobs to 13.8 million Europeans (2.6 million direct jobs, accounting for 8.5% of manufacturing employment).
Industrial Strain: In September 2024, German auto major Volkswagen announced plans to close two manufacturing plants in Germany.
Domestic Market Dominance in China: Chinese e-vehicle sales surpassed internal combustion engine (IC) sales in July 2024, reaching 853,000 units in a single month.

Reflects a structural shift in global manufacturing where clean energy technology is disrupting conventional automotive giants.
Highlights the clash between decarbonization goals and national industrial protectionism.

Western economies face a dilemma: accepting cheaper Chinese EVs accelerates the green transition, but placing heavy import duties to safeguard domestic manufacturing and jobs delays climate action.