The trade regulations you must know
CBAM
CBAM, the Carbon Border Adjustment Mechanism, stands as a pivotal trade regulation crafted in response to the challenges posed by global climate change. Its primary aim is to deter producers from shifting operations to countries with lax carbon emission regulations, effectively preventing carbon leakage. CBAM represents a forward-thinking and formidable trade measure that is poised to reshape the interconnected realms of global economy and environmental protection. Grasping the intricacies and implications of CBAM is imperative for businesses and governmental agencies alike.
Understanding climate change
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ISO 14064-1
GHG Inventory
ISO 14064-1 is an internationally recognized standard for greenhouse gas management and reporting. It assists organizations in demonstrating their environmental responsibility and leadership when facing challenges related to global warming and climate change. This standard allows them to gain various benefits while addressing disclosure requirements for their own or client’s ESG sustainability reporting.
ISO 14067
Carbon footprint of products
A carbon footprint refers to a quantitative indicator used to measure the greenhouse gas emissions generated throughout the entire lifecycle of a specific product or service. This includes emissions from production, use, disposal, or recycling processes. It encompasses both direct and indirect emissions, such as energy consumption, manufacturing processes, product transportation, and waste management.
CBAM
Product Embedded Emissions Accounting
CBAM (Carbon Border Adjustment Mechanism) is a climate policy of the EU. This mechanism requires imported goods to pay a carbon cost equivalent to that of the European carbon market to prevent carbon leakage. The goal of CBAM is to ensure that EU businesses face reasonable carbon price competition while preventing high carbon-emitting industries from relocating to areas outside the EU.
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