The European Parliament in May 2023 ratified the CBAM, aligning with the EU's ambitious climate objectives to reduce emissions by 55 percent by 2030 compared to 1990 levels. The CBAM is poised to compel non-EU countries falling under its purview to implement stricter emission regulations.
As many African countries do not currently meet the CBAM emission reduction standards, importers to the EU may redirect trade elsewhere to minimise cost.
