In recent years, the European Union has positioned itself as a global leader in the fight against climate change. In 2023, it officially launched the Carbon Border Adjustment Mechanism, which aims to reduce “carbon avoidance” and stimulate decarbonization at the international level.
However, this move has provoked a mixed reaction among countries in the Global South, especially in Africa. African partners accuse the EU of climate neocolonialism and argue that European policies are damaging their economies by hindering equitable development.
What is CBAM? Why does the EU need it?
The Carbon Border Adjustment Mechanism is designed to level the playing field between European producers who face high prices for their CO₂ emissions within the EU and foreign companies that are not burdened by similar standards.
CBAM introduces a tax on the import of certain carbon-intensive goods, such as steel, aluminum, cement, fertilizers, electricity and hydrogen. The mechanism is due to become fully operational in 2026, with a transition period starting in 2023.
From the EU’s perspective, this is an environmentally and economically sound measure: it prevents “carbon leakage” (when companies move production to countries with less stringent environmental standards) and stimulates the global transition to cleaner technologies.
Africa’s Response: “Climate injustice”
However, many African countries see CBAM as a threat to their economic sustainability. For countries that export commodities to Europe, additional carbon charges mean higher costs and a loss of competitiveness.
This is especially true for countries such as Morocco, South Africa, Egypt, Algeria and Mozambique, which are the main exporters of metals, fertilisers and cement to the EU.
African politicians and economists say that CBAM is a form of “climate protectionism” that distorts international trade. According to a report by the African Climate Commission, such measures could cost the continent up to $25 billion a year in export losses by 2030.
South African President Cyril Ramaphosa said in 2023:
We cannot afford to bear the burden of a climate fight that is not ours.
Africa emits less than 4% of the world’s CO₂, but faces tough economic sanctions from developed countries.
Ecological Transition – at whose expense?
The paradox is that Europe demands a green transition from Africa, but does not provide sufficient financial and technological support.
Although the EU has promised to allocate 300 billion euros under the Global Gateway initiative, many African countries complain about the difficulty of obtaining these funds and the lack of transparency.
For African countries, the transition to renewable energy requires significant investment, infrastructure and trained personnel. Without access to cheap energy, including natural gas, they will not be able to develop industry and eliminate poverty.
Abandoning fossil fuels under external pressure can slow growth and cause domestic instability.
A Alternative Approach
African analysts and international NGOs propose a more balanced approach. Instead of unilateral pressure on southern economies, the EU could promote bilateral climate partnerships focused on:
- Investments in clean energy and industry.
- Technology transfer and joint carbon capture projects.
- Reducing trade barriers for environmentally friendly products.
- Support for green jobs and education in African countries.
Such measures could create a sustainable economic model that can simultaneously achieve growth and decarbonisation.
The EU should recognise the historical responsibility of developed countries for the climate crisis and build climate policy on the principles of fairness and equality.
Morocco in the Firing Line
Morocco, one of Africa’s largest exporters of phosphates and fertilizers, could be hit hard by the CBAM.
The European carbon tax will hit key sectors of the country’s economy, especially fertiliser production: a key export to the EU.
Despite aggressive investment in solar energy and a green development strategy, Morocco risks losing competitiveness due to rising costs.
Rabat stresses that the transition to a low-carbon economy requires a fair approach from Europe, otherwise the “green agenda” will turn into an economic blow to developing countries that are already suffering from global inequality.
Only through joint efforts and a fair approach can EU climate policy benefit both Europe and Africa.
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