What is ‘carbon leakage’ and how will the Carbon Border Adjustment Mechanism tackle it? 
Industries in the EU face strict limits on the CO2 emissions they produce. To get around these rules, companies may move production to non-EU countries with weaker regulations. 
The European Parliament has approved new rules to encourage responsible behaviour by EU companies and discourage the import of cheap carbon-intensive products made in non-EU countries.
Find out more in our short Q&A.

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The Carbon Border Adjustment Mechanism explained