{"id":403831,"date":"2025-09-21T16:38:51","date_gmt":"2025-09-21T14:38:51","guid":{"rendered":"https:\/\/climatescience.press\/?p=403831"},"modified":"2025-09-21T16:38:53","modified_gmt":"2025-09-21T14:38:53","slug":"europes-days-of-carbon-colonialism-are-numbered","status":"publish","type":"post","link":"https:\/\/climatescience.press\/?p=403831","title":{"rendered":"Europe\u2019s Days of Carbon Colonialism are Numbered"},"content":{"rendered":"\n
\"A<\/figure>\n\n\n\n

<\/p>\n\n\n\n

From Tilak\u00b4s Substack<\/a><\/p>\n\n\n\n

By Tilak Doshi<\/a><\/p>\n\n\n\n

\"A<\/figure>\n\n\n\n

The European Union is intent on implementing the world\u2019s\u00a0first tax on the carbon content<\/a>\u00a0of imported goods from January 1st 2026. The EU\u2019s celebrated climate policy experiment, the\u00a0Carbon Border Adjustment Mechanism<\/a>\u00a0(CBAM), will make its debut as the crowning jewel of its\u00a0Green New Deal<\/a>\u00a0to make Europe \u201cclimate neutral by 2050\u201d.<\/p>\n\n\n\n

Brussels imagines itself as the arbiter of the world\u2019s energy future, wielding carbon tariffs to discipline trading partners into compliance. Yet as 2026 approaches, it is increasingly clear that this grandiose project is destined to collapse under the weight of its own contradictions, geopolitical realities and economic irrelevance.<\/p>\n\n\n\n

The Myth of the Climate Club<\/strong><\/p>\n\n\n\n

The EU\u2019s conceit rests on an academic abstraction: Nobel laureate and economist William Nordhaus\u2019s idea of a \u201cclimate club<\/a>\u201d. In his vision, nations form a coalition to punish free riders who benefit from emissions cuts without paying the costs. Trade sanctions, Nordhaus argued, would induce cooperation where voluntary agreements like the Kyoto Protocol and the Paris Agreement had failed. This was music to the ears of Brussels bureaucrats and Washington climate warriors. If only the global commons could be managed like a private golf club, with rules enforced at the border.<\/p>\n\n\n\n

But clubs require willing, paying members. And here lies the problem: most of the world does not buy into Europe\u2019s apocalyptic climate gospel. Developing countries from India to Brazil see the CBAM not as enlightened policy but as naked protectionism \u2013 a form of carbon colonialism that forces them to swallow the EU\u2019s ideology or lose market access. At the Asian Development Bank annual meeting in Milan in May, India\u2019s Finance Minister Nirmala Sitharaman said<\/a> that Europe\u2019s carbon taxes on high-emitting imports raise questions of \u201cmorality\u201d and are a \u201crepeat of colonialism\u201d.<\/p>\n\n\n\n

The BRICS group, at its July 2025 summit in Rio de Janeiro, issued a strong statement<\/a> condemning CBAM. The bloc labelled it as \u201cunilateral, punitive and discriminatory protectionism\u201d that violates WTO rules and undermines the principle of common but differentiated responsibilities enshrined in the UN Framework Convention on Climate Change (FCCC). The statement expressed serious concern over what it described as \u201cdiscriminatory protectionist measures under the pretext of environmental concerns\u201d. This marked a significant escalation in BRICS\u2019s criticism of Western environmental policies, framing them as economic barriers that disproportionately affect developing nations.<\/p>\n\n\n\n

Officially, CBAM is about preventing \u2018carbon leakage\u2019. If European producers pay for carbon emissions under the EU Emissions Trading System, then foreign competitors should pay an equivalent tariff at the border. Otherwise, the logic goes, European firms will offshore production to less regulated jurisdictions, undermining climate goals. Or, conversely, foreign firms exporting to the EU will be more competitive than EU-based firms subject to their domestic carbon prices set by the EU Emission Trading System (ETS).<\/p>\n\n\n\n

Yet the question is never asked: whose playing field is being levelled? For developing economies of the Global South, cheap coal, natural gas and oil are critical rungs in the energy ladder<\/a> out of poverty. Western Europe, having already industrialised on fossil fuels, now seeks to kick that ladder away. This is not environmental justice; it is economic imperialism draped in green robes.<\/p>\n\n\n\n

The Atlantic Rift<\/strong><\/p>\n\n\n\n

When the CBAM was first unveiled in 2021 under the EU\u2019s grand Green New Deal package, Brussels could count on ideological alignment with the Biden White House. Both sides of the Atlantic sang from the same hymnbook: Net Zero by 2050 and the promise of green utopia.<\/p>\n\n\n\n

But that was then. Today, Washington DC has undergone a dramatic about-face. On January 20th 2025 \u2014 on his first day back in the Oval Office \u2014 President Trump yanked the US from the Paris Agreement, declaring it the \u201cscam<\/a>\u201d he\u2019d always known it to be. Executive Order 14162<\/a>, \u2018Putting America First in International Environmental Agreements\u2019, mandated US withdrawal from all UN climate commitments including Net Zero targets and contributions to \u2018climate finance\u2019.<\/p>\n\n\n\n

Ahead of his trip to Europe for a gas summit and meetings with EU officials last week, US Energy Secretary Chris Wright didn\u2019t mince his words. He blasted the EU\u2019s Net Zero targets as a \u201ccolossal train wreck\u201d, warning the push for climate policies could weaken energy security and derail a US-EU trade deal. \u201cNet Zero 2050 is just a colossal train wreck,\u201d Wright told the Financial Times<\/em> in an interview<\/a>. \u201cIt\u2019s just a monstrous human impoverishment programme, and of course, there is no way it is going to happen.\u201d<\/p>\n\n\n\n

The United States and the European Union jointly announced in late August the creation of the Framework Agreement on Reciprocal, Fair and Balanced Trade<\/a>, which elaborates on a previous US-EU deal on tariffs and trade<\/a> announced in late July. To the surprise of some observers, the framework contained a paragraph on the EU\u2019s Carbon Border Adjustment Mechanism<\/a> (CBAM). Among the 19 commitments<\/a> included in the framework is a pledge that the EU will \u201cwork to provide additional flexibilities\u201d in implementation of the CBAM, taking note of US concerns about its effect on small and medium enterprises (SMEs).<\/p>\n\n\n\n

In this new geopolitical climate, it is inconceivable that Brussels would impose CBAM penalties on US exports. The EU already capitulated<\/a> to Trump on energy imports and trade concessions worth hundreds of billions of dollars. Why would it provoke another tariff war over climate dogma? It won\u2019t. CBAM will become yet another paper tiger, selectively enforced against weaker trading partners while the US gets a free pass.<\/p>\n\n\n\n

For the United Kingdom, CBAM poses yet more hurdles to the Labour Government, committed as it is to ever closer economic and political relations with the EU. The EU and UK signed a \u2018reset deal<\/a>\u2018 at what critics call Prime Minister Starmer\u2019s \u201csurrender summit<\/a>\u201d in May in London. The agreement calls for \u201cestablishing a link between carbon markets by way of a European Union-United Kingdom agreement linking the United Kingdom Emission Trading System (UK ETS) and the European Union Emission Trading System (EU ETS)\u201d. Britain will struggle to link its carbon market to the EU\u2019s in the few months remaining to January 2026, to avoid UK companies facing the bloc\u2019s carbon border tariff and annual bills around \u00a3800 million pounds from next year.<\/p>\n\n\n\n

Britain is likely to ask for exemption from the EU\u2019s CBAM. If Brussels refuses, as is also likely, British exporters will be saddled<\/a> with tariffs and compliance costs. Yet London is in no position to resist. Even as British households buckle under soaring energy prices, Westminster genuflects before the altar of climate orthodoxy, hoping for Brussels\u2019s leniency. Referring to the signing of the EU-UK reset deal, ex-Prime Minister Boris Johnson called<\/a> Keir Starmer \u201cthe manacled gimp of Brussels\u201d.<\/p>\n\n\n\n

Furthermore, the CBAM risks violating<\/a> World Trade Organisation (WTO) rules on non-discrimination and national treatment. By rejoining the EU ETS, the UK will be embroiled in disputes with its trading partners including India<\/a> and the US<\/a>, both of which the UK recently concluded trade deals with.<\/p>\n\n\n\n

Green Protectionism Meets Political Reality<\/strong><\/p>\n\n\n\n

Geopolitics has also upended the green dream. Europe\u2019s decarbonisation crusade was already an exercise in self-harm<\/a>; the Ukraine war turned it into outright disaster. Sanctions on Russia, followed by the sabotage of the Nord Stream gas pipeline, severed Europe\u2019s access to cheap Russian gas. Germany, once marching proudly toward its Net Zero Valhalla, is instead being dragged into energy poverty by sheer realpolitik<\/em>. Instead of abandoning fossil fuels voluntarily, it is being forced into energy scarcity by geopolitics and its need to buy US-sourced LNG at far higher prices. Against this backdrop, the idea that CBAM tariffs will \u2018save the climate\u2019 borders on the delusional.<\/p>\n\n\n\n

Even within Europe, the policy has become a damp squib. Economic stagnation, welfare-state burdens, and a growing backlash against climate policies<\/a> erode support for Brussels\u2019s costly policy experiments. Populist parties across the continent, from Germany\u2019s AfD and France\u2019s National Rally to Britain\u2019s Reform UK, openly mock the Net Zero obsession. Current Governments in these three countries, deeply unpopular, would be swept out if elections were held today. CBAM, as their flagship policy, may not survive their demise.<\/p>\n\n\n\n

The EU\u2019s CBAM is thus revealed for what it is: the last hurrah of a fading elite determined to impose its worldview on a recalcitrant Global South. It will not change the trajectory of global emissions. It will not persuade India, China or Brazil to abandon cheap energy. It will not even dent US exports, given Washington\u2019s renewed climate scepticism. At best, it will add bureaucratic headaches and compliance costs for European firms, while alienating the very trading partners Europe needs for growth.<\/p>\n\n\n\n

CBAM is not a bold step toward climate salvation. It is a symbol of Europe\u2019s declining relevance, an impotent gesture by a continent that confuses moral posturing with power. As January 2026 approaches, one suspects the world will shrug at Brussels\u2019s pretensions. Carbon colonialism, like its imperial predecessor, is destined for the dustbin of history.<\/p>\n\n\n\n

This article was first published in The Daily Sceptic https:\/\/dailysceptic.org\/2025\/09\/19\/europes-days-of-carbon-colonialism-are-numbered\/<\/a><\/em><\/p>\n\n\n\n

\"A<\/figure>\n\n\n\n

Dr Tilak K. Doshi is the <\/em>Daily Sceptic\u2018s Energy Editor. He is an economist, a member of the CO2<\/sub> Coalition and a former contributor to Forbes. Follow him on Substack<\/a> and X<\/a><\/em>.<\/p>\n\n\n\n

Tilak\u2019s Substack is a reader-supported publication. To receive new posts and support my work, consider becoming a free or paid subscriber.<\/p>\n\n\n\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

The European Union is intent on implementing the world\u2019s first tax on the carbon content of imported goods from January 1st 2026. The EU\u2019s celebrated climate policy experiment, the Carbon Border Adjustment Mechanism (CBAM), will make its debut as the crowning jewel of its Green New Deal to make Europe \u201cclimate neutral by 2050\u201d.<\/p>\n","protected":false},"author":121246920,"featured_media":403838,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_coblocks_attr":"","_coblocks_dimensions":"","_coblocks_responsive_height":"","_coblocks_accordion_ie_support":"","advanced_seo_description":"Explore how Europe's Carbon Border Adjustment Mechanism aims to combat climate change but risks sparking global trade tensions and criticism.","jetpack_seo_html_title":"Why Europe's Carbon Border Tax Faces Global Backlash","jetpack_seo_noindex":false,"jetpack_seo_schema_type":"","_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_wpcom_ai_launchpad_first_post":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[1],"tags":[691838193,691838192,691838191,691822903,691838195,691827234,691818154,691838194,691833487],"class_list":["post-403831","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized","tag-climate-club","tag-carbon-border-adjustment-mechanism-cbam-2","tag-carbon-colonialism","tag-carbon-credits","tag-eu-emission-trading-system-ets","tag-european-union-eu","tag-net-zero","tag-un-framework-convention-on-climate-change-fccc","tag-us-president-donald-j-trump","fallback-thumbnail"],"jetpack_publicize_connections":[],"jetpack_likes_enabled":true,"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/paxLW1-1H3p","jetpack-related-posts":[{"id":379615,"url":"https:\/\/climatescience.press\/?p=379615","url_meta":{"origin":403831,"position":0},"title":"The Folly of Starmer\u2019s Surrender Summit \u2013 Not so Much \u2018Ruthlessly Pragmatic\u2019 as Cravenly Sycophantic","author":"uwe.roland.gross","date":"05\/23\/2025","format":false,"excerpt":"When the first post-Brexit\u00a0UK-EU summit\u00a0to be held in London today was announced in February, UK Minister for the Constitution and European Union Relations Nick Thomas-Symonds said that Britain will be \u201cruthlessly pragmatic\u201d in talks to \u201creset\u201d its relations with the EU. Most Britons are not holding out for much ruthless\u2026","rel":"","context":"In \"\u201csurrender summit\u201d\"","block_context":{"text":"\u201csurrender summit\u201d","link":"https:\/\/climatescience.press\/?tag=surrender-summit"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2025\/05\/0ChatGPT-Image-23.-Mai-2025-18_36_40.png?fit=800%2C1200&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2025\/05\/0ChatGPT-Image-23.-Mai-2025-18_36_40.png?fit=800%2C1200&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2025\/05\/0ChatGPT-Image-23.-Mai-2025-18_36_40.png?fit=800%2C1200&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2025\/05\/0ChatGPT-Image-23.-Mai-2025-18_36_40.png?fit=800%2C1200&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":349036,"url":"https:\/\/climatescience.press\/?p=349036","url_meta":{"origin":403831,"position":1},"title":"How EU Carbon Border Adjustment Mechanisms Expose FALSE Cheap Green Energy Claims","author":"uwe.roland.gross","date":"10\/26\/2024","format":false,"excerpt":"If Renewables are the cheapest form of energy, why does the EU need a carbon border tax to protect EU based industries?","rel":"","context":"In \"carbon border adjustment mechanism\u00a0(CBAM)\"","block_context":{"text":"carbon border adjustment mechanism\u00a0(CBAM)","link":"https:\/\/climatescience.press\/?tag=carbon-border-adjustment-mechanism-cbam"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2024\/10\/0CBAM.jpg?fit=1200%2C748&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2024\/10\/0CBAM.jpg?fit=1200%2C748&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2024\/10\/0CBAM.jpg?fit=1200%2C748&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2024\/10\/0CBAM.jpg?fit=1200%2C748&ssl=1&resize=700%2C400 2x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2024\/10\/0CBAM.jpg?fit=1200%2C748&ssl=1&resize=1050%2C600 3x"},"classes":[]},{"id":380865,"url":"https:\/\/climatescience.press\/?p=380865","url_meta":{"origin":403831,"position":2},"title":"India Rejects Carbon Tax, Backs Fossil Fuels and Trade in Defiance of Green Policies","author":"uwe.roland.gross","date":"05\/30\/2025","format":false,"excerpt":"Like many developing economies, India faces coercion from the United Nations and Europe to conform to climate policies, especially through the imposition of carbon taxes on imports into their countries. 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Essay by Eric Worrall This new carbon tax is a slap in the face for every non-EU nation which has contributed to\u00a0Europe\u2019s attempts to contain Russia. Europe takes climate fight global as carbon border tax goes live The Carbon Border Adjustment Mechanism enters a trial\u2026","rel":"","context":"In \"Carbon Tax\"","block_context":{"text":"Carbon Tax","link":"https:\/\/climatescience.press\/?tag=carbon-tax"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/10\/0shutterstock-1387517006.webp?fit=1200%2C747&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/10\/0shutterstock-1387517006.webp?fit=1200%2C747&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/10\/0shutterstock-1387517006.webp?fit=1200%2C747&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/10\/0shutterstock-1387517006.webp?fit=1200%2C747&ssl=1&resize=700%2C400 2x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/10\/0shutterstock-1387517006.webp?fit=1200%2C747&ssl=1&resize=1050%2C600 3x"},"classes":[]},{"id":329185,"url":"https:\/\/climatescience.press\/?p=329185","url_meta":{"origin":403831,"position":4},"title":"Why the PROVE IT Act Would Result in Carbon Taxes","author":"uwe.roland.gross","date":"05\/15\/2024","format":false,"excerpt":"The\u00a0PROVE IT Act\u00a0(S. 1863) is not a benign information collection bill on the carbon intensity of domestic and foreign goods. 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