There’s a Ukrainian contradiction brewing in European politics.
As the European Union pledges to fund Ukraine’s war effort, no matter how long it takes, it is also barreling ahead with a new trade law that will drain Kyiv’s war-battered economy if fully enacted.
The measure in question is a pending tax the EU has long had in the works for certain carbon-heavy imports like iron and steel. In a nutshell, the tax will force EU companies to pay a premium if those goods come from countries with lax environmental rules.
The hope is the tax will keep European manufacturers competitive, given the costs they already incur complying with bloc’s relatively stringent climate rules. The measure presents the EU’s polluting trading partners with a choice: Find new buyers, lower your carbon footprint or accept lost revenue.
