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Russia challenges EU’s carbon border tax, free emission permits at WTO

( May 19, 2025, 15:15 GMT | Official Statement) -- MLex Summary: Russia has challenged the EU’s Carbon Border Adjustment Mechanism, or CBAM, and its system of free emission permits, at the World Trade Organization. The Russian government argues that the measures, under the EU's Emissions Trading System, “are inconsistent with the EU's obligations under various [WTO] provisions.” In particular, Russia says that granting free emission permits amounts to a “financial contribution by the government or public body that confers a benefit to certain sectors deemed to be at risk of carbon leakage.” With the dispute formally opened, both parties have 60 days to resolve it through consultations before litigation can proceed.Full statement follows....

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