The EU Carbon Border Adjustment Mechanism and WTO Law - Is the EU’s CBAM compatible with WTO regulations?
The Carbon Border Adjustment Mechanism, introduced by Regulation (EU) 2023/956 of the European Parliament and of the Council of 10 May 2023 establishing a carbon border adjustment mechanism (hereinafter ‘CBAM’), represents one of the major steps of the European Union (hereinafter ‘EU’) to combat carbon leakage. Since CBAM is currently in its transitional phase till December 31, 2025, the implicati