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This article analyzes the EU carbon border adjustment mechanism's compatibility with international environmental responsibilities.

June 20, 2026

Trade-related environmental leverage and its limits: is the EU carbon border adjustment mechanism incompatible with common but differentiated responsibilities and respective capabilities?

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Normative analysis examines the EU's carbon border adjustment mechanism, suggesting its alignment with environmental responsibilities.

This article analyzes the EU carbon border adjustment mechanism's compatibility with international environmental responsibilities.
Provides a normative analysis of the EU CBAM under Article XX of GATT.
Examines the application of common but differentiated responsibilities and respective capabilities principle.
Advocates for a dynamic interpretative approach to environmental policies.
The narrower interpretation of CBDR-RC enhances the environmental effectiveness of the CBAM.
Aligns the EU CBAM more closely with commitments under the Paris Agreement.
Fulfills the expectations of the WTO dispute settlement organs regarding the Chapeau.

Giulia Claudia Leonelli (2026) studied this question.

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