China Criticizes EU’s Increase in Carbon Tariffs and Prepares Response Measures

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China Criticizes EU’s Increase in Carbon Tariffs and Prepares Response Measures

The Ministry of Commerce of China has issued a strong criticism regarding the European Union’s increase in carbon border tariffs under the CBAM mechanism. Representatives of the People’s Republic of China stated that the new rules are “unfair” and “discriminatory” towards Chinese manufacturers and promised appropriate actions to protect their own economic interests.

This is reported by Finway

EU Introduces New Standards for Importing Goods

The European Union has approved a package of legislative initiatives for implementing the Carbon Border Adjustment Mechanism (CBAM), which will take effect on January 1, 2026. This tool requires the payment of additional tariffs on imports of products with high levels of greenhouse gas emissions to encourage a reduction in carbon footprints and support domestic producers during the “green transition.”

The Ministry of Commerce of China claims that the EU has set excessively high baseline carbon intensity benchmarks for Chinese goods, which it plans to increase over the next three years. Such benchmarks, applied in the absence of verified data, do not reflect the actual situation and development potential of Chinese industry. According to Chinese officials, this creates an uneven playing field for trade and contradicts the principles of fair competition.

“We will resolutely take all necessary measures in response to any unfair trade restrictions,” the ministry stated, emphasizing that this is done to protect the interests of China’s development and maintain the stability of global supply chains.

China Accuses EU of Protectionism and Double Standards

Beijing also emphasizes that the CBAM is already facing criticism from many trading partners due to its protectionist approach. In particular, the United States is calling for more flexibility for American companies. At the same time, the Ministry of Commerce of China opposes the EU’s initiative to extend the mechanism’s scope to about 180 types of products, including steel and aluminum products, cars, auto parts, and household appliances. The Chinese side believes that such actions go beyond legitimate efforts to combat climate change.

The criticism also extends to the EU’s decision to soften the ban on the sale of new cars with internal combustion engines. The Chinese ministry believes that the combination of domestic easing of “green” standards with external increases in trade barriers is a manifestation of double standards.

“The EU is promoting a new form of trade protectionism under the pretext of preventing ‘carbon leakage’,” the ministry stated, noting that this raises the cost of climate actions for developing countries and “seriously undermines international trust,” urging Brussels to maintain the openness of its market.