France, Italy, and Slovakia Urge EU to Simplify Carbon Border Levy

France, Italy, and Slovakia have urged the EU to simplify its carbon border levy rules to ease burdens on businesses. Changes proposed aim to exempt 90% of companies and include standardized emissions calculations. The policy, effective in 2026, aims to protect EU manufacturers from cheaper imports.

In a push to ease the administrative burden on businesses, France, Italy, and Slovakia have called for the European Union to simplify its carbon border levy rules. This appeal is backed by a document seen by Reuters.

The European Commission has plans to amend the policy potentially exempting 90% of businesses from the levy. The changes come as part of an effort to shield European producers from competition posed by countries with less stringent climate laws, such as the United States under previous administrations.

The three countries have suggested allowing standardized emissions calculations, making the reporting process less onerous for companies. They also advocate for free CO2 permits for European exporters to enhance competitiveness in the global market, where emission-related costs are typically lower.

(With inputs from agencies.)