The proposal, which is expected to be made by the end of 2025, aims to support producers of goods at risk of such carbon leakage and ensure equal treatment for all goods, whether produced and sold in the EU, imported into the EU or exported. This scheme would be in place for an initially defined period and then will be reviewed after the new 2026 ETS reform is approved.
The measure is part of the Commission's efforts to prevent carbon-intensive production from being shifted to countries with less stringent climate policies. This move is a crucial step in promoting a sustainable and low-carbon economy.
