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The EU is ready to postpone the carbon tax for Ukraine-it is waiting for an official request

Ferrous metallurgy

The European Commission is ready to postpone the introduction of the carbon adjustment mechanism at the EU border (CBAM) for Ukraine, which is due to enter into force next year, but only if the Ukrainian government sends an official request, which has not yet been received

The EU is ready to postpone the carbon tax for Ukraine-it is waiting for an official request

The European Commission is ready to postpone the introduction of the carbon adjustment mechanism at the EU border (CBAM) for Ukraine, which is due to enter into force next year, but only if the Ukrainian government sends an official request, which has not yet been received.

The German edition of Tagesspiegel writes about this.

"The tax on CO2 emissions can become a heavy burden for the Ukrainian industry, which is already experiencing difficulties. Although the European Commission is ready to postpone the full introduction of the tariff for Ukraine until 2027, the country has not yet submitted an official request for such a postponement," the newspaper writes.

Tagesspiegel notes that the Ukrainian economy is currently in critical condition due to the war, and if the CBAM spreads to Ukraine, the losses to the economy will be very significant.

"CBAM strives to equalize the playing field between European manufacturers and importers from other countries. It can become a significant additional burden for Ukraine's already severely weakened economy," the publication points out.

According to his estimates, the Ukrainian metallurgy, fertilizer production, energy and chemical industries will suffer the most from the introduction of SWAM, while the cement industry in general is in danger of actual collapse.

"Due to the lack of an effective emission capture system, Ukrainian manufacturers are forced to purchase CBAM certificates, which significantly increases production costs and reduces their competitiveness in the European market. The prospects for fertilizers, especially from the ammonia group, are also gloomy," Tagesspiegel notes.

Given the very difficult situation of Ukrainian heavy industry, the Ukrainian Union of Industrialists and Entrepreneurs (UUPP) recently called on European institutions to create a transitional regime or grant Ukraine a special status due to martial law and lack of resources– CBAM should not become an additional obstacle to trade, the publication points out.

"Ukraine protects not only itself, but also the security of the whole of Europe. Support should be comprehensive – political, economic and security," said Anatoly Kinakh, President of the USPP.

At the same time, Ukrainian experts called for Ukrainian companies to be given the same access to EU decarbonization financing as European companies.

"The European Commission seems to recognize this. According to Carbon Pulse, it is ready to postpone the full implementation of CBAM for Ukraine until February 1, 2027. This procedure requires an official request from Ukraine based on article 30.7 of the CBAM Regulations, which allows exceptions in cases of force majeure. However, no such request has been submitted yet," the newspaper notes.

At the same time, Ukraine's trade representative Taras Kachka confirmed in early June that the Cabinet

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