June 26, 2025, 05:30:21 (IST)
An estimated 422,000 South African jobs are at risk due to tightening global carbon rules
South Africa’s export economy is facing significant risk from tightening global carbon regulations, with an estimated 422,000 local jobs tied to exports to economies implementing carbon border adjustment mechanisms (CBAMs), according to a report in Mail & Guardian. These rules, such as the European Union’s CBAM, impose tariffs on carbon-intensive goods, which could make South African products less competitive. The country’s heavy reliance on coal for its energy supply makes its industrial exports, particularly from sectors like iron, steel, and aluminium, highly vulnerable to these new trade barriers.