Europe Imposes Pollution Tax – Economy

As stated in Thursday’s column, a European Union He unveiled a stringent plan to ditch fossil fuels and other practices that involve the production of greenhouse gases. It is a program that has significant implications for the global economy, including Brazil.

The main goal of this plan is by 2030 to reduce gas emissions by at least 55% carbon dioxide (CO2) And other gases that cause Global WarmingOn the basis of the current situation in 1990. Among the decisions, which are still to be enshrined by the 27 countries in the bloc, is the imposition of a tax on imports of goods whose production is considered polluting.

So he intends to kill two birds with one stone. intends to prevent cheap goods produced without the proposed environmental precautions from unfair competition with the European product subject to higher costs determined by policies aimed at achieving neutrality carbon. It also intends to prevent European industries from migrating to countries that cost less to produce because they do not have to submit to stricter environmental rules – which increase their costs.

The program specifies that by 2035, the European Union will stop selling new vehicles that run on fossil fuels. Some countries have already taken decisions in this direction, albeit with a longer time frame in mind. Now, this definition shortens and standardizes politics.

Along with this measure, the plan intentionally sets exorbitant prices for all economic activities (including transportation) that continue to use gasolineAnd the dieselAnd the fuel oil or kerosene. You are Planes and the ships They will not escape new requirements that will force them to have alternative and sustainable alternatives to aviation kerosene and diesel oil for navigation. Although these decisions are limited to the European Union, it is difficult to prevent them from spreading to the rest of the world because planes and ships must be prepared to reach airports and ports in Europe.

Although the stated motive is to comply with the provisions of Paris AgreementThe imposition of a unilateral carbon tax on some imports has a notorious protectionism and should be called into question internationally. Its main geopolitical impact will be on developing countries, significantly بشكل Russia e Turkey.

Eastern European countries are far behind in the process of environmental clean-up, and in the negotiations now beginning within the bloc, they should be the most reluctant to accept the new standards.

The main sector that could be affected in Brazil is steel products. One criticism of the European program is that it takes a punitive approach without seeking to help the poorest countries comply with environmental standards and, therefore, be in a position to reduce their emissions.

Currently, the European Union is responsible for 9% of international carbon emissions. It seems insignificant, but its cumulative liabilities are enormous since the industrial revolution, in the eighteenth century, was releasing polluting gases into the atmosphere.

Questions, protests, and kicks on a global scale against this plan are already foreseeable. The drafters themselves caution that one of their goals is to get other countries – almost by force – to get involved as quickly as possible in the effort to decarbonize the planet.

But it should be kept in mind that the European Union is no longer alone in this fight against climate change. Prime government United StateAnd the Joe Biden, is preparing its own program to cut carbon emissions by 40%-43% by 2030, as reported Thursday by The New York Times. a United kingdomIn turn, he wants to reduce 78% by 2035. And the government ChinaUnder pressure, it is also preparing to announce such a plan, the content and dates of which are still unknown.

Protectionist rhetoric may have some scope, but it tends to be limited because the great powers seem to be sympathetic on this.

* CELSO MING is an economic suspension