France proposes carbon tax on EU imports

De Villepin promises "concrete proposal" to protect European business, stop "environmental dumping"

French prime minister Dominique de Villepin proposed on Monday to impose an EU carbon tax on imports from countries without formal commitments under the Kyoto protocol to limit greenhouse gas emissions.  Such a tax would affect exporters in non-Kyoto industrialised countries like the USA as well as emerging developing countries like China and India.

Taking up a recommendation made by an industry-led EU advisory group in October (EED 31/10/06), Mr De Villepin said he intended to "study the idea" with France’s European partners.  A "concrete proposal" will be put forward in the first half of 2007.

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