Refresh this chart in your browser | Edit the chart in Datastream The new EU Carbon Border Adjustment Mechanism (CBAM)[1] which came into force on 1 October 2023 could prove to be a positive force for the transition to net zero. By imposing reporting obligations and ultimately a tax on carbon-intensive imports into the EU, the mechanism incentivises countries including China to decarbonise their exports. The CBAM was introduced to stop carbon leakage due to the cost advantage that non-EU countries have over EU countries, which have to abide by the limits on emissions imposed by the EU Emissions Trading System. The