Debate Ignites Over EU Carbon Border Tariff Impact on Gas Export

The EU's proposed carbon border tariff could deter U.S. natural gas exports to Europe due to the perceived risks, according to U.S. Energy Secretary Chris Wright. During a conference in Paris, he highlighted concerns over the new tariff, which currently affects goods like steel and cement, but not gas.

The European Union's proposed carbon border tariff has prompted concerns in the energy export sector, particularly regarding its potential impact on natural gas trade with Europe. Speaking at a conference in Paris, U.S. Energy Secretary Chris Wright voiced apprehensions about the risks involved.

'The penalties associated with it would make it too risky to export natural gas to Europe,' Wright stated, reflecting a growing debate over the repercussions of the tariff.

Notably, while the carbon border tariff applies to imported goods such as steel and cement, it does not currently extend to gas or liquefied natural gas imports.

(With inputs from agencies.)