Comparing the economic impact of carbon border adjustment mechanism: A cross-country analysis of Turkey, Ukraine, and Serbia


Çelik G., Yucel O., Yılmaz Z.

Journal of Cleaner Production, cilt.520, 2025 (SCI-Expanded, Scopus) identifier

  • Yayın Türü: Makale / Tam Makale
  • Cilt numarası: 520
  • Basım Tarihi: 2025
  • Doi Numarası: 10.1016/j.jclepro.2025.146141
  • Dergi Adı: Journal of Cleaner Production
  • Derginin Tarandığı İndeksler: Science Citation Index Expanded (SCI-EXPANDED), Scopus, Academic Search Premier, PASCAL, Aerospace Database, Business Source Elite, Business Source Premier, CAB Abstracts, Chimica, Communication Abstracts, Compendex, INSPEC, Metadex, Pollution Abstracts, Public Affairs Index, Veterinary Science Database, Civil Engineering Abstracts
  • Anahtar Kelimeler: Carbon border adjustment mechanism, Financial Modelling, Input-output model
  • TED Üniversitesi Adresli: Evet

Özet

The European Union has introduced severe environmental regulations which have triggered concerns about carbon leakage. The European Commission employed the Carbon Border Adjustment Mechanism (CBAM) to deal with this issue. This study investigates Serbia, Ukraine, and Turkey, the top exporters among EU candidate countries, because the CBAM is very significant for EU candidate countries with close economic connections to the EU and industries dependent on carbon-intensive production. Initially, the sub-sectors within EU countries are identified to evaluate the impact of the CBAM. Next, the impact of transactions within the Chemical and Non-Metallic Mineral Products, Metal Products, Mining and Quarrying, Petroleum, and Electricity, Gas, and Water industries across these sub-sectors are analyzed. Input-output and scenario analysis are used to evaluate the direct and indirect effects of the CBAM on compensation of employees, taxes on production, and subsidies on production in Serbia, Ukraine, and Turkey. Our findings show that the implementation of the CBAM has resulted in similar economic effects across all three countries, especially in the redistribution of subsidies, production taxes, and employee compensation regarding all subsectors. The observed increase in production subsidies and decrease in production taxes are the evidence of governments’ active responses to CBAM induced cost pressures by providing financial relief to firms.