The Impact of Green Tariffs on International Logistics
By David Miller
·September 05, 2023
Sustainability is no longer a choice but a necessity. Green tariffs, such as the EU's Carbon Border Adjustment Mechanism (CBAM), are reshaping logistics costs and strategies.
What is CBAM?
The Carbon Border Adjustment Mechanism is a system aimed at equalizing carbon costs for carbon-intensive products imported into the EU. This requires exporters to report their carbon footprints and purchase carbon certificates if necessary.
Impact on Logistics
Logistics companies are shifting towards lower-carbon transport modes (e.g., rail intermodal). Additionally, emission tracking and reporting across the supply chain are becoming standard parts of customs processes.
What to Do?
Exporters must measure the carbon intensity of their products and develop reduction strategies. At MMC Global, we guide our clients through the Green Deal compliance process.