To help you as Carbon Border Adjustment Mechanism, the COP28 climate summit's negotiations on the phase-out of fossil fuels highlighted the difficulty of global coordination on climate policies. This editorial argues that the EU's Carbon Border Adjustment Mechanism if it can effectively prevent carbon leakage without causing undue economic harm to Europe's trading partners, could significantly improve current anti-leakage strategies. The authors propose a non-discriminatory, product-specific import tariff, the Leakage Border Adjustment Mechanism, which aims to balance leakage while minimizing administrative costs. The recent COP28 climate summit in Dubai featured negotiations regarding the phase-out of fossil fuels, which once again demonstrated how challenging it is for the community to coordinate their climate policy. Global cooperation is the most effective strategy to achieve net zero greenhouse gas (GHG) emissions from an economic perspective.

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