European Chamber Carbon Market WG Vice Chair Spoke at the Asia-Pacific Forum on Green and Low-Carbon Development in Changsha

2023-10-20 | Beijing

On October 21, Richard Lin, Vice Chair of European Chamber's Carbon Market Working Group, spoke at the Asia-Pacific Forum on Green and Low-Carbon Development in Changsha. During the Forum’s Parallel Session 5: Trade, Investment and Climate Change in Asia and the Pacific, Richard Lin analysed the impact, challenges and countermeasures of the EU's carbon border adjustment mechanism (EU CBAM) from three aspects.

Firstly, the CBAM will bring uncertainties, which will have a considerable impact on international trade; Secondly, carbon will be a very important trade policy, and compliance regulations related to carbon and decarbonisation will be a major trend in the future; Thirdly, the CBAM will greatly disrupt global trade, especially traditional trade rules. On the one hand, under the CBAM, manufacturers must disclose not only the relevant information of goods, but also the overall operational data and information. On the other hand, the CBAM mirrors the EU's emissions trading market, which is able to very accurately reflect energy use, raw materials, energy efficiency, and process technology, and increased transparency in the supply chain will be an important trend for businesses.