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Home»Economic News»Should UK and EU link their emissions trading systems?
Economic News

Should UK and EU link their emissions trading systems?

August 12, 2024No Comments2 Mins Read
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This article is an on-site version of our Trade Secrets newsletter. Premium subscribers can sign up here to get the newsletter delivered every Monday. Standard subscribers can upgrade to Premium here, or explore all FT newsletters

Hello from a (surprisingly) sunny Brussels where, as the FT’s EU climate and energy correspondent, I’ll provide you with a green-tinted Trade Secrets newsletter.

Speaking of green, the EU has well and truly hit the proverbial cucumber season with only a dispute between Hungary, Slovakia and Ukraine over sanctions on the Russian oil company Lukoil to keep officials entertained. The latest is that there has been a flurry of letters and snipey social media comments. Meanwhile, Brussels compiles information on the actual state of crude flows through Ukraine.

For close readers of Trade Secrets, I’m afraid I’m returning to the issue of the EU’s carbon border adjustment mechanism, but with an EU-UK twist. Charted Waters is on India’s tough trade stance against China.

Alan will be back next week, fear not.

Get in touch. Email me at alice.hancock@ft.com

The EU-UK carbon delta

When the UK announced that it planned to introduce its own carbon border tax in 2027, a year after the EU starts charging under its CBAM regime, there was an outcry from industry. What would happen in the intervening year? And what if the UK CBAM was delayed? British manufacturers argued that the country risked becoming a dumping ground for emissions-heavy products redirected from the bloc.


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