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How can CBAM work? Options for improving Europe's carbon border adjustment mechanism

Author

Listed:
  • Felbermayr, Gabriel
  • Mahlkow, Hendrik
  • Pham, Isabel
  • Sogalla, Robin
  • Wanner, Joschka

Abstract

The EU aims to reduce its CO₂ emissions by 55% by 2030 compared with 1990 levels, and by 90% by 2040 relative to 1990. To achieve these ambitious climate targets, the volume of available emission allowances will have to be drastically reduced in the coming years. This will lead to a sharp rise in the price of these emission allowances.

Suggested Citation

  • Felbermayr, Gabriel & Mahlkow, Hendrik & Pham, Isabel & Sogalla, Robin & Wanner, Joschka, 2025. "How can CBAM work? Options for improving Europe's carbon border adjustment mechanism," Studien, Stiftung Familienunternehmen / Foundation for Family Businesses, volume 1, number 336279.
    • Handle: RePEc:zbw:sfustu:336279
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