CBAM Webinar: The Road to Climate Neutrality

With the aim of achieving climate neutrality by 2050, an informative webinar was held on 6 May 2025 on the Carbon Border Adjustment Mechanism (CBAM), a key tool implemented by the European Union in line with the objectives of the European Green Pact. 

The CBAM aims to establish a level playing field between European and foreign producers, fostering fairer competition and international cooperation more aligned with global environmental objectives. The tool has three main objectives. First, to combat and prevent carbon leakage. Second, to estimate, with the support of the EU-ETS, the price of direct CO2 emissions and products pay a price similar to this. Lastly, to contribute to global decarbonization, as the CBAM mechanism came out of the European Green Pact, which aims to reach climate neutrality by 2050. 

  During the webinar, the implications of the CBAM were analyzed at both global and regional levels, with an emphasis on Latin America and Mexico. It was discussed how carbon pricing systems - whether explicit (such as taxes or regulated emissions trading systems) or indirect - can influence fiscal progressivity and the reduction of inequalities. 

  One of the challenges highlighted was the need for traceability and transparency in carbon pricing, to avoid double counting and ensure fair application. Concerns about how to ensure that producers do not directly pass on costs to consumers, especially in sectors where demand is more inelastic, were also addressed. 

  This webinar discussed carbon pricing in order to reduce greenhouse gas (GHG) emissions, internalize the cost of production and, at the same time, redirect consumption preferences towards goods with a lower carbon footprint.