The Commission is considering granting free quotas to exporting manufacturers
The European Commission is considering granting free allowances to European exporting companies subject to emission quotas. The carbon border adjustment mechanism, which comes into force next year, taxes importers but correspondingly reduces the free allowances enjoyed by European companies subject to quotas, penalising them on exports. Pending a review of the European carbon market rules in the third quarter of next year, the European Commission will create a fund to support exporting companies, which will be endowed with €600 million for 2026. The Commission had estimated the loss for the companies concerned at €1.4 billion in 2026-2027.