2.4% of Russian exports will be affected by EU carbon regulation

The cross-border carbon regulation, which will be in effect in the EU from 2023, will affect 2.4 % of all Russian exports, or 5.7 % of exports going to Europe. Such a forecast is contained in the materials of the main directions of tax policy to the draft federal budget submitted to the State Duma.

The materials note that "exports in the amount of 0.7 trillion rubles will fall under the CBAM (Carbon Border Adjustment Mechanism)."

So far it is known that CBAM applies to the electric power industry, the production of iron and steel, aluminum, cement and fertilizers.

The tax will be introduced in 2023, but it will not be levied until 2025 inclusive, but information on greenhouse gas emissions from the production of imported products will be collected.