Muheop-Korea Chamber of Commerce, 'EU Carbon Border Adjustment Mechanism Legislation and Outlook' Webinar

Photo by Korea International Trade Association

[Asia Economy Reporter Kim Heung-soon] On the 20th, the Korea International Trade Association held a webinar on "Key Contents and Prospects of the European Union (EU) Carbon Border Adjustment Mechanism (CBAM) Legislation" in collaboration with the Korea Chamber of Commerce and Industry.

On this day, Jeong Myeong-gyu, Environmental Attach? at the Embassy of the Republic of Korea to Belgium and the EU, stated, "The EU Carbon Border Adjustment Mechanism is scheduled to be fully implemented from 2026 in five sectors: steel, cement, fertilizer, aluminum, and electricity, following a transitional period," and emphasized, "Our industry and government need to closely monitor the upcoming legislative process within the EU and the follow-up measures by the European Commission regarding this bill."

Lee Sang-jun, a research fellow at the Korea Energy Economics Institute, who presented on the issues arising from the introduction of the Carbon Border Adjustment Mechanism and its impact on Korean industries, said, "It is necessary to evaluate the impact by industry and company based on the EU Emissions Trading System (ETS) reporting and verification (MRV) and product benchmark standards, focusing on the applicable products," adding, "Based on the impact assessment, companies need to strengthen their investment efforts in greenhouse gas reduction technologies and facilities, and tailored government support should be provided simultaneously."

Kim Nok-young, head of the Sustainability Management Center at the Korea Chamber of Commerce and Industry, who presented on the current status and differences between the domestic and EU carbon emissions trading systems, explained, "As the EU Carbon Border Adjustment Mechanism is linked with the EU ETS, the carbon cost calculation process will involve examining the emissions trading systems of exporting countries," and added, "Since Korea has been operating the ETS since 2015, it is relatively advantageous compared to other countries, but as the scope of the EU ETS is expected to expand and there will be many changes in the free allocation method, more meticulous responses are required."

This webinar can be rewatched from the 23rd on the Trade Association's YouTube channel and the Korea Chamber of Commerce and Industry's website.

This content was produced with the assistance of AI translation services.