The United Kingdom's Strategy for Carbon Border Adjustment in a Changing Global Landscape
Summary
The report analyzes the UK's proposed Carbon Border Adjustment Mechanism (CBAM) as a tool to prevent carbon leakage. It highlights key divergences from the EU CBAM, specifically the inclusion of glass and ceramics and the exclusion of electricity, as well as the absence of a transitional period. The document emphasizes the potential administrative and economic burdens on developing countries and LDCs and recommends aligning the UK system with the EU CBAM to reduce bureaucratic hurdles for trading partners.
Key insights
- The proposed UK CBAM is intended to prevent carbon leakage, which occurs when sectors subject to UK carbon pricing face competition from jurisdictions with less stringent policies.
- The UK CBAM differs from the EU CBAM in its sectoral scope—including glass and ceramics while excluding electricity—and its timeline, as it does not include a transitional period.
- Applying the CBAM equally to all countries regardless of development status may create difficulties for developing countries and least developed countries (LDCs) due to their limited capacity to report and measure emissions.
- To ensure smooth implementation and minimize administrative burdens for trading partners, it is critical to identify implementation challenges and align the UK CBAM as closely as possible with the EU CBAM.
Cite the original document
- APA
- Xie,, C. A. F. (2024). The United Kingdom's Strategy for Carbon Border Adjustment in a Changing Global Landscape. International Institute for Sustainable Development. https://www.iisd.org/publications/report/border-carbon-adjustments-united-kingdom
- Chicago
- Xie,, Chris Aylett,Antony Froggatt,Chengkai. The United Kingdom's Strategy for Carbon Border Adjustment in a Changing Global Landscape. International Institute for Sustainable Development, 2024. https://www.iisd.org/publications/report/border-carbon-adjustments-united-kingdom.
- Wikipedia
- {{cite report |last1=Xie, |first1=Chris Aylett,Antony Froggatt,Chengkai |title=The United Kingdom's Strategy for Carbon Border Adjustment in a Changing Global Landscape |publisher=International Institute for Sustainable Development |date=30 July 2024 |url=https://www.iisd.org/publications/report/border-carbon-adjustments-united-kingdom |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{xie2024united, author = {Xie,, Chris Aylett,Antony Froggatt,Chengkai}, title = {{The United Kingdom's Strategy for Carbon Border Adjustment in a Changing Global Landscape}}, institution = {International Institute for Sustainable Development}, year = {2024}, month = jul, url = {https://www.iisd.org/publications/report/border-carbon-adjustments-united-kingdom}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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