EU’s CBAM and Carbon Pricing Diplomacy
2026 is a crucial year for the EU to advance a more comprehensive diplomatic agenda on the CBAM to support its global partnerships. The EU has built an impressive toolkit for international cooperation on carbon pricing, but the patchwork of positive examples is still overshadowed by continued CBAM criticism. Addressing this now will ensure that trade partner concerns do not hinder progress in EU bilateral relationships and multilateral spaces further down the line. By repositioning the CBAM as a central component of a coherent trade and climate toolkit, the EU can strengthen its global relationships, sustain its long-term industrial decarbonisation pathway and reinforce its role as a trusted partner.
Read More
