CBAM and EU Policy Spark ArcelorMittal's €2 bn Green Steel Push
CBAM and carbon pricing gain global momentum — from ArcelorMittal's €2 bn green steel push in France, to Taiwan's CBAM launch plans, a new report urging Australian leadership on a regional CBAM, the ADB's proposal to align Asian carbon prices with the EU, and the World Bank's latest global pricing report.
At a Glance:
- CBAM and EU Policy Spark ArcelorMittal's €2 bn Green Steel Push
- New Report Calls for Australian Leadership on Asian CBAM
- Asian Development Bank (ADB) proposes carbon price multiplier system to bridge the carbon price gap
- Taiwan Prepares for the Launch of Its Own CBAM
- World Bank publishes State and Trends of Carbon Pricing 2025
CBAM and EU Policy Spark ArcelorMittal's €2 bn Green Steel Push
ArcelorMittal has confirmed a €1.2 billion investment in a new electric arc furnace (EAF) at its Dunkirk (France) facility—bringing its total French decarbonization spend to around €2 billion including other ongoing projects in Dunkirk, Fos-sur-Mer, and Mardyck. The steelmaker delayed these investments amid the sector's deepest downturn since 2009, but has now linked the relaunch to supportive policy frameworks, particularly the European Commission’s Steel & Metals Action Plan and the confirmed roll-out of the EU CBAM.
New Report Calls for Australian Leadership on Asian CBAM
A new report by independent think tank Climate Energy Finance recommends that Australia take the lead in developing a regional CBAM aligned with the EU model. The report urges collaboration with countries such as China, Japan, South Korea, and Singapore to introduce carbon tariffs on high-emission industrial imports like steel, cement, and aluminium. These sectors collectively account for around 15% of global emissions. A rising carbon price, the report argues, would protect the competitiveness of greener exports, curb carbon leakage, and drive investment in industrial decarbonisation at the pace needed to address the climate crisis.
Asian Development Bank (ADB) Proposes Carbon Price Multiplier System to Bridge the Carbon Price Gap With the EU ETS
In a policy brief published by the Asian Development Bank (ADB), the institution proposes introducing a multiplier system that could help bridge the carbon price gap between existing mechanisms in the Asia-Pacific region and the EU-ETS, reducing trade barriers and ensuring fair competition. A multiplier would apply a standardized factor to the price of carbon derived from regional instruments, such as coal and fuel taxes, carbon taxes, energy savings certificates (ESCerts), Renewable Energy Certificates (RECs), or domestic ETS prices, to bring them closer to EU-ETS levels. For instance, if a domestic ETS price is set at $20 per ton of CO₂ while the EU-ETS price exceeds $100, a multiplier of five would align the effective price of carbon for goods destined for EU markets.
Taiwan Prepares for the Launch of Its Own CBAM
Taiwan's Ministry of Environment plans to begin a trial-run phase of its own CBAM in 2026, with full pilot reporting for steel and cement in 2027. According to Minister of Environment Peng Chi-ming, the goal is to complete the legal framework in the second half of 2025. In April 2025, President Lai Ching-te stated that the government will steadily implement a carbon pricing system, carefully plan a Taiwan-specific version of the CBAM, and assist enterprises in gradually compiling a digital product carbon footprint database, while also promoting the circular economy and industry internationalization to build a "Green Taiwan" brand.
World Bank Publishes State and Trends of Carbon Pricing 2025
The World Bank has published State and Trends of Carbon Pricing 2025. This annual report provides an up-to-date overview of existing and emerging carbon pricing instruments around the world, including international, national and subnational initiatives. It also investigates trends surrounding the development and implementation of carbon pricing instruments, specifically the use of carbon taxes, emissions trading systems, and crediting mechanisms.
Planning Ahead: Navigating CBAM
With CBAM shaping international trade and policy, importers must prepare for its definitive phase starting in 2026. To support readiness, we’ve published a practical guide outlining key requirements and timelines.