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Carbon tax in the World Trade Organization framework: potential conflicts of interest and challenges for Kazakhstan in the context of international trends

Published online by Cambridge University Press:  11 September 2025

Gulmira Issayeva ,
Iulian-Romeo Ihnatov ,
Elmira Zhussipova Open the ORCID record for Elmira Zhussipova [Opens in a new window]  and
Galimzhan Pazilov
Gulmira Issayeva
Affiliation:
Department of Finance, M. Auezov South Kazakhstan University, Shymkent, Kazakhstan
Iulian-Romeo Ihnatov
Affiliation:
Department of Finance, Alexandru Ioan Cuza University of Iasi, Iasi, Romania
Elmira Zhussipova*
Affiliation:
Department of Finance, M. Auezov South Kazakhstan University, Shymkent, Kazakhstan
Galimzhan Pazilov
Affiliation:
Department of Finance, M. Auezov South Kazakhstan University, Shymkent, Kazakhstan
*
Corresponding author: Elmira Zhussipova; Email: elmirazhussipova@outlook.com
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Summary

This study examines the implementation challenges of the carbon tax and related mechanisms and governmental initiatives (such as the border carbon tax) within the framework of the World Trade Organization. As these issues are relevant to Kazakhstan as well, the mentioned problems are considered from the perspective of potential complexities for the country. The research suggests that accusations of protectionist policies by the European Union (EU) may escalate, although there is currently no compelling evidence that the decision to introduce them was a deliberate protectionist measure. Based on the research findings, it is evident that the EU Carbon Border Adjustment Mechanism will increase costs for EU importers, which are likely to be passed on to consumers, especially due to the gradual phasing out of free emissions trading quotas.

Keywords

Carbon border adjustment mechanismcarbon taxEuropean Union Emissions Trading SystemWorld Trade Organization

Information

Type
Perspectives
Information
Environmental Conservation , First View , pp. 1 - 7
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Copyright
© The Author(s), 2025. Published by Cambridge University Press on behalf of Foundation for Environmental Conservation

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