Border Carbon Adjustment and Inequality: Distributional Equity Concerns About the EU CBAM's Impacts in South Africa
Border carbon adjustment (BCA) policies are increasingly discussed as an instrument to avoid carbon leakage; however, their social implications are not well understood. Nevertheless, the EU introduced its CBAM, which will take effect in 2026. After showing that distributional impacts in exporting countries were not considered in the policy process, I examine the potential effects in South Africa,