The EU Carbon Border Adjustment Mechanism (CBAM) aims to level the playing field by applying the same carbon price faced by domestic producers under the Emission Trading System to the emissions embodied in certain imported goods. Differences in emissions intensity between EU and...

The introduction of the EU Carbon Border Adjustment Mechanism (CBAM) has triggered statistically significant negative stock market responses for firms within the EU. Comparing EU customers that have non-EU suppliers in CBAM-affected industries with their non- treated peers in the control group,...

The EU and the UK both control domestic greenhouse gas emissions through cap-and-trade systems – their Emission Trading Systems. To reduce ‘carbon leakage’ they propose to charge imports for emissions at the same price as domestic producers through Carbon Border Adjustment Mechanisms,...

We summarise the results of our study employing a quantitative trade model to assess the implications of the EU carbon border adjustment mechanism (CBAM) on trade flows, welfare, real wages and CO2 emissions. Specifically, the general equilibrium effects of the introduction of a tariff on...

We examine the industrial effects of two measures aimed at mitigating carbon leakage: the EU's scheduled Carbon Border Adjustment Mechanism (CBAM) and the allocation of free emission allowances. Currently, the EU allocates free emission allowances based on output (known as outputbased...

Energy production and consumption is the primary source of global carbon emissions. In order to achieve the goal of Intended Nationally Determined Contributions (INDCs) in the Paris Agreement, countries around the world have set off an upsurge of energy transition. The EU has ambitious INDCs....

The European Commission's proposal for a Carbon Border Adjustment Mechanism (CBAM) aims to address carbon emissions in imports to the EU. This thesis researches the financial implications for exporting countries due to CBAM's implementation, focusing on how it may alter production costs, demand...

The EU's Carbon Border Adjustment Mechanism (CBAM) entered into application in its transitional phase on 1 October 2023. CBAM is the EU's landmark tool to put a fair price on the greenhouse gases (GHG) emitted during the production of certain GHG-intensive goods, including aluminium, entering...

The EU's Carbon Border Adjustment Mechanism (CBAM) entered into application in its transitional phase on 1 October 2023. CBAM is the EU's landmark tool to put a fair price on the greenhouse gases (GHG) emitted during the production of certain GHG-intensive goods, including hydrogen, entering the...

Climate change is a global problem that calls for, among other measures, global carbon taxation. As not all countries tax carbon, those with higher carbon taxes, such as the EU members, face the risk of "carbon leakage". The Carbon Border Adjustment Mechanism (CBAM) makes the carbon price of...

The EU Emissions trading system is the first and most popular carbon market that allows the trading of evidence that the EU ETS framework has reduced Greenhouse Gas (GHG) emissions using different models. However, have these emissions reduced industry-wide or simply reallocated over time? This...

On July 14, 2021, the European Commission announced its Fit for 55 package to reach the EU’s climate target of cutting emissions by 55 percent by 2030. A Carbon Border Adjustment Mechanism (CBAM) legislative proposal was introduced as part of this package. The proposal describes the mechanism...

Despite broad acceptance among economists, carbon taxes face persistent public resistance. We measure the sources and distribution of welfare losses from unexpected European carbon price changes by estimating their impact on consumer prices, labor income, financial wealth, and government...

Addressing climate change as well as the role of banks in this process requires better measures about the exposures of firms and banks to climate related risks. We usually have data for large, publicly listed firms due to enhanced disclosure requirements. In this paper, we provide first...

This Policy Brief assesses the evolving EU Emissions Trading System and EU carbon border adjustment mechanism (CBAM) and explains objections within Europe and from major trading countries likely to be affected by the proposed CBAM import levies. While EU officials have sought to ensure that the...

Unter dem Eindruck der Finanz- und Wirtschaftskrise hat die EU das Instrumentarium zur Regulierung des Finanzmarktes weiterentwickelt und verschärft. Dieser Prozess hat auch Auswirkungen auf die Akteure am Europäischen Kohlenstoffmarkt und ihre Handelsstrategien. Dieser Abschlussbericht...

To meet the targets of the EU’s Fit for 55 package, the European Commission proposes to implement a Carbon Border Adjustment Mechanism (CBAM) to replace free emission allowances for the most trade exposed emitting industries. The CBAM is firstly intended to avoid carbon leakages, but it also...

In December 2019, the European Commission released a mechanism to fight climate change, namely the European Green Deal. This policy was put in place to materialize the goals of the Paris Agreement on Climate Change of 2015, that is, to combat the issue of climate change along the lines of...

While global attention is focused on fighting the COVID-19 pandemic, climate change remains a defining, long-term challenge that requires policies to create sustainable economies. This challenging task is increasingly gaining attention among policymakers worldwide, since climate change is...

Policy makers worldwide have increasingly considered the adoption of a carbon adjustment at the border to equalize carbon pricing on foreign goods with carbon policies imposed on domestic production. The implementation of a border carbon adjustment (BCA) in the European Union has been recently...

Der vorliegende Bericht präsentiert Vermeidungskostenkurven für Treibhausgasemissionen (THG-VKK) im stationären Teil des Emissionshandelssystems der Europäischen Union (stationäres EU ETS) für die Jahre 2030 und 2040. Sie umfassen alle 31, am EU ETS beteiligten Länder (inkl....

The EU's Emission Trading Scheme (EU ETS) has been shown to have reduced emissions in the participating countries and industries since its adoption in 2005. However, there is less evidence on the shifting of production outside EU to avoid emission controls. We study this so-called carbon leakage...