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flag Australia considers border carbon tariffs to protect industries from high-emission imports and prevent carbon leakage.

flag Australia is evaluating border carbon adjustments to protect its manufacturing sector from high-emission imports, according to a 2026 report. flag The proposed tariffs aim to ensure fair competition by addressing carbon policy gaps in key industries like cement, steel, and ammonia. flag Supported by industry leaders, the move seeks to prevent carbon leakage while maintaining competitiveness and aligning trade with climate goals. flag The recommendations will shape updates to Australia’s Safeguard Mechanism, a core climate policy.

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