Britain intends to implement carbon duties on imports by 2027

The British government announced that it intends to implement a new mechanism for pricing carbon imports by 2027, whereby fees will be imposed on goods imported from countries that do not impose carbon fees or impose lower fees, as part of efforts to eliminate carbon emissions. The government said the carbon limits adjustment mechanism will apply to carbon-intensive products in the iron and steel, aluminium, fertilisers, hydrogen, ceramics, glass and cement sectors. The duties imposed will depend on the amount of carbon emitted in the production of imported goods and the difference between the carbon price applied in the country of origin, if any, and the carbon price charged to UK producers.