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News > Environmental protection regulations > UK plans to impose carbon tax on imported goods from 2027

UK plans to impose carbon tax on imported goods from 2027

2023-12-18

The British government announced that it expects to impose a carbon tax on imported products such as aluminum, steel and cement from 2027 to improve carbon leakage and prevent local companies from being harmed by overseas manufacturers.

The UK Treasury stated that the upcoming carbon tax will help mitigate carbon leakage, which occurs when companies relocate production to countries with lower environmental regulations or production costs. Specifically, this carbon tax policy will create a level playing field for UK manufacturers, allowing environmentally conscious UK companies to compete fairly with overseas companies that have higher carbon emissions but lower production costs.

"The carbon tax will ensure that high-carbon-emitting products from overseas, such as steel and ceramics, have the same carbon cost as products produced in the UK, while also contributing to the reduction of global carbon emissions," said UK Chancellor of the Exchequer Jeremy Hunt.

However, British Steel criticized the government for its slow policy implementation, which is a year behind the EU CBAM. However, Gareth Stace, director general of the UK Steel Association, pointed out that the new carbon tax policy is correct and will help create a level playing field for British steelmakers.

資料來源: euronews.green

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