Global Dialogue on Border Carbon Adjustments: The case of Brazil

The report examines how border carbon adjustment (BCA) schemes affect Brazil, noting that while the EU's CBAM has limited impact due to the small share of covered exports, other jurisdictions like the United States could pose greater risks. Stakeholders highlight challenges including compliance costs, administrative burdens, and the need for production transformation investments. The document emphasizes that a lack of awareness regarding these measures is a primary obstacle and calls for international collaboration to ensure fair BCA design.

• The EU Carbon Border Adjustment Mechanism (CBAM) is expected to have limited effects on Brazil because only a small portion of Brazilian exports to the EU are covered by the mechanism.
• Brazil may face more significant impacts from border carbon adjustments implemented in other jurisdictions, specifically citing the United States.
• The primary challenge within Brazil regarding these measures is a lack of awareness, which may hinder the country as more BCA schemes are introduced.
• Stakeholders identified several critical challenges associated with BCAs, including short-term negative effects on exports, economic activity, and employment, high compliance costs, and the necessity of investment to change production methods in affected sectors.
• Brazilian exporters are concerned that the administrative and compliance costs of BCAs must be fair to avoid giving domestic producers in importing countries a disproportionate advantage.

APA

CINDES, (2024). Global Dialogue on Border Carbon Adjustments: The case of Brazil. International Institute for Sustainable Development. https://www.iisd.org/publications/report/border-carbon-adjustments-brazil

Chicago

CINDES,. Global Dialogue on Border Carbon Adjustments: The case of Brazil. International Institute for Sustainable Development, 2024. https://www.iisd.org/publications/report/border-carbon-adjustments-brazil.

Wikipedia

{{cite report |last1=CINDES, |title=Global Dialogue on Border Carbon Adjustments: The case of Brazil |publisher=International Institute for Sustainable Development |date=19 July 2024 |url=https://www.iisd.org/publications/report/border-carbon-adjustments-brazil |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{cindes2024global, author = {CINDES,}, title = {{Global Dialogue on Border Carbon Adjustments: The case of Brazil}}, institution = {International Institute for Sustainable Development}, year = {2024}, month = jul, url = {https://www.iisd.org/publications/report/border-carbon-adjustments-brazil}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }