Brussels | Brussels expects to raise nearly €10 billion ($15.8 billion) a year from a carbon tax on imports as part of its effort to tackle global warming and will use the money to repay hundreds of billions in EU joint recovery debt.

Details of the EU’s upcoming Carbon Border Adjustment Mechanism (CBAM) laid out in a legal text, seen by the Financial Times, reveal how the system will work. The so-called carbon border tax forms the cornerstone of Brussels’ attempt to protect European industry from foreign competitors that are not subject to the bloc’s stringent climate targets.

Financial Times