New Delhi, April 17 -- The European Union (EU) is considering a significant expansion of its Carbon Border Adjustment Mechanism (CBAM), a move that could raise carbon-related costs for Indian exports to Europe, according to the Global Trade Research Initiative (GTRI).
CBAM is a border carbon tax that imposes a cost on emissions embedded in imported goods, effectively placing foreign manufacturers under similar carbon pricing as European producers.
Proposed Changes Under Consideration
In a draft report released on April 10, 2026, the European Parliaments Committee on the Environment, Climate and Food Safety proposed key changes to the mechanism.
These include expanding the scope of CBAM to around 180 additional steel- and aluminium-b...