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country-icon European Union

09.06.23

Carbon Border Adjustment Mechanism (CBAM) - EU Member responses

The introduction of new taxes can be challenging for Member States, and likely to trigger multiple responses due to logistical issues, as well as concerns related to their relevance, applicability and scope.

Poland specifically has raised concerns that the introduction of the Carbon Border Adjustment Mechanism (CBAM) will lead to higher food prices and concurrently threaten energy security.

Presently, Poland is challenging the approval of the CBAM, on the basis that approval was obtained via a majority vote, rather than a unanimous vote. The latter could preclude the law coming into effect if Poland were to vote against the initiative.

The European Court of Justice is expected to investigate Poland’s referral.

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