EU-India Talks on Carbon Border Adjustment Mechanism Gain Momentum

The European Commission's Director-General, Gerassimos Thomas, visited India to discuss the Carbon Border Adjustment Mechanism (CBAM). The meetings aimed to address tax and customs challenges related to decarbonization and to ensure imported goods are treated equally as EU-produced goods. The discussions also focused on deepening cooperation in energy efficiency and taxation.

The European Commission, led by Director-General Gerassimos Thomas, has intensified discussions with India concerning the Carbon Border Adjustment Mechanism (CBAM). This mechanism, aimed at equalizing the treatment of imported and EU-produced goods to promote global decarbonization, was a central topic during Thomas's visit to New Delhi.

Thomas met with Indian officials and business leaders to deliberate on tax and customs matters, specifically the implications of CBAM on Indian industries. The EU's objective with CBAM is to set a price on carbon emissions for energy-intensive imports such as steel and cement, thereby fostering a level-playing field for European goods adhering to strict green standards.

Concerns from developing countries, including India, regarding the economic impact of CBAM were addressed, emphasizing the importance of collaborative efforts in achieving global decarbonization. The visit underscored the mutual interest in expanding cooperation on carbon trading, energy efficiency, and clean technology.

(Disclaimer: With inputs from agencies.)