EU member states have agreed to extend measures to price the carbon emissions of goods imported into the Eurozone to include a wide range of end-products made from steel, aluminum and iron. The current Carbon Border Adjustment Mechanism (CBAM) came into force on Jan. 1 this year and currently applies mainly to high-emission raw materials.

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Ruth Prickett graduated from Cambridge University with a BA hons in History and has specialized in business and finance journalism for the past 20 years. She was editor of Financial Management, the magazine...