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Brussels to exclude most EU companies from carbon limit tax


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More than 80 percent of the EU company that are suitable for a new carbon border tax are freed from Brussels reforms, according to the tax commissioner WoPke Hoekstra.

Hoekstra said the FT, he wanted to limit that carbon The border adaptation mechanism (CBAM) to the greatest importers and saves most companies the costs of compliance and fees within the block to reduce the bureaucracy and increase productivity.

“Less than 20 percent of companies are responsible for more than 95 percent of the emissions of the products,” he said.

“The importance of the climate goals is nothing to facilitate a wide range of companies on the entire continent.”

The move would release up to 180,000 of the 200,000 companies affected by compliance.

European companies complained about the complicated and costly form radio during a test run by CBAM, which aims to protect the heavy industry in the EU to protect a sector that has to pay for its greenhouse gas emissions.

It obliges the importers to report the carbon content of their products in seven sectors, including aluminum, steel, iron and fertilizer. From next year you will have to pay the difference between the price for the exposure of the carbon in the EU and the country in which it was made.

Since only a few countries have emission trading systems in EU style or calculate the carbon content, the system has proven stressful for EU importers.

A report in March showed that only about 10 percent of companies in Germany and Sweden had expected emissions.

“It is common sense that if you happen to be part of the rifle scope, you also have little time when you fill out a lot of paperwork,” said Hoekstra.

The world’s first system was heavily attacked by trading partners such as the USA and India, whose companies are probably burdened by the tax of importers.

However, EU officials insist that the goal of the latest reforms is to help EU companies and not to water down the effects, since more than 95 percent of imports would still be covered.

They also hope that it will convince the countries to implement their own carbon trading systems.

The Dutchman will consult on the way and hopes that it can be issued by a huge “omnibus” simonification law that is expected this month. It must be approved by a majority of Member States and members of the European Parliament.

Brussels has undertaken to reduce bureaucracy by 25 percent and 35 percent for small companies in order to increase economic growth and investments and to close the growing gap in the USA and China.

This year Hoekstra will carry out a separate check of CBAM, which applies to cement, aluminum, electricity and hydrogen. It could be extended to other sectors such as glass, ceramics, pulp, paper and mass chemicals.

The steel industry is committed to greater protection. It would like to be released for goods produced by EU, which exports outside the EU, processed abroad and then imported into the EU. It also wants steel components such as the carrier and aircraft parts.

“We will carefully look at the scope,” said Hoekstra. “We will carefully look at the exports. We will make it open, but also know that this is not necessarily easy. “

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