India Rebukes EU Carbon Rules While Securing CBAM Deal and Export Support

Overview

• On Thursday Piyush Goyal publicly warned that the EU’s Carbon Border Adjustment Mechanism and high steel duties risk raising living costs and making European industry less competitive.
• Goyal said developed countries have not delivered the promised $100 billion a year in climate finance and used historical emissions to argue for differentiated treatment of India.
• India and the EU have reached what Goyal called an amicable settlement on CBAM, with both sides agreeing to cooperate on decarbonising exporters and approving verifiers.
• New Delhi announced it will pay certification costs for micro and small exporters to help them meet CBAM and EU deforestation rules so firms can keep access to European markets.
• Goyal said the India‑EU free trade agreement is likely to be signed by year‑end and could become operational within four to five months, while German firms signal growing plans to base manufacturing and R&D in India.