EU Pauses Carbon Levy on Fertiliser Imports

The European Commission has temporarily suspended the carbon border levy on fertiliser imports following demands from France and Italy. This decision, announced by French Agriculture Minister Annie Genevard, provides relief to European farmers facing economic challenges.

The European Commission has announced a suspension of the carbon border levy on imports of fertilisers, following demands from France and Italy. The decision was made public by French Agriculture Minister Annie Genevard on Wednesday, necessitating protection for European farmers who are currently struggling to cope economically.

French and Italian officials lobbied during a meeting of EU agriculture ministers for the exclusion of fertilisers from the European Union Carbon Border Adjustment Mechanism (CBAM), to mitigate financial strain on the agricultural sector due to this mechanism.

Trade Commissioner Maros Sefcovic confirmed that the carbon tax suspension will be effective retroactively from January 1, 2026. Genevard shared her satisfaction on social media, calling the news a significant relief for farmers across the European Union.

(With inputs from agencies.)