Explained: Why India is protesting EU's 'discriminatory' carbon border tax

As India's third largest trading partner, the EU accounted for €62.8 billion ($74.5 billion) worth of trade in goods in 2020.

Last week, Indian environment minister Prakash Javadekar opposed the European Union's (EU) plan to levy an additional 'carbon border tax' on imports from countries such as India that do not have strict norms for controlling industrial greenhouse gas (GHG) emissions.

Earlier, on March 10, 2021, the EU Parliament had adopted a resolution to implement a 'Carbon Border Adjusted Mechanism' (CBAM), a June 2021 draft regulation pertaining to which proposed that goods entering the EU would be taxed at the borders. Such a tax would promote "low-carbon, resource-efficient manufacturing", the resolution says. The UK and the US are also considering such