Russia has filed a formal complaint at the World Trade Organization (WTO) against the European Union’s Carbon Border Adjustment Mechanism (CBAM), aiming to set limits on similar environmental trade measures by other countries.
According to Russia’s Economic Development Ministry, the EU is using environmental goals as a pretext to introduce protectionist trade policies, and the complaint seeks to establish clear boundaries on what is acceptable under international trade rules.
“CBAM is a systemic issue,” the ministry stated, as cited by Russian news agency Interfax on Tuesday.
The EU is trying to legitimize protectionism under the banner of green policy, and this must be addressed to prevent other countries from following suit, the ministry further explained.
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Industries in Russia likely to be affected by CBAM include steel, aluminum, fertilizers, and cement.
While the ministry did not disclose the financial impact of the mechanism, it emphasized that the WTO’s dispute settlement system still holds global influence, even without a functioning Appellate Body.
WTO rulings are closely watched by national regulators and regional trade bodies worldwide.
Russia believes that widespread criticism of CBAM among WTO members indicates strong support for its position.
The ministry said that aside from EU representatives, most countries express concern over CBAM’s potential to harm global producers and distort trade.
On May 19, Russia formally requested consultations with the EU under WTO rules. If no resolution is reached within 60 days, Russia can escalate the case to a WTO panel.
CBAM, set to begin in 2026, will impose carbon-related tariffs on imports such as cement, aluminum, steel, fertilizers, electricity, and hydrogen—effectively equalizing carbon costs for EU and foreign producers.
Read more: EU CBAM Portal For Third-Country Operators Goes Live
