Tel :
Tel :
Following the Turkish Parliament's passage of the country's first climate law on July 2, the Turkish Climate Change Agency released draft regulations for the Emissions Trading System (ETS) on July 22. According to the draft, enterprises emitting more than 50,000 tons of carbon dioxide will be included in the system, covering sectors such as electricity, cement, steel, aluminum, and fertilizers. The steel industry, as a key sector,KR R/A43 steel will be the first to be implemented during the pilot phase.
According to the draft, the ETS will enter a pilot phase from 2026 to 2027. During this phase, there will be no carbon credit offset mechanism. All facilities will receive 100% free allowances, and an 80% discount penalty mechanism will be implemented to lower the barrier to entry for businesses. The first official implementation cycle will begin in 2028 and last until 2030,KR R/A43 steel with the second phase planned to cover 2031 to 2035. At that time, the carbon price corridor mechanism and supporting carbon pricing tools will be implemented simultaneously, marking the official operation and improvement of the system.
The establishment of this system is considered a key step for Turkey in responding to the EU's Carbon Border Adjustment Mechanism (CBAM) and will have a direct impact on Turkish steel exporters. According to the Turkish Ministry of Trade's previously released roadmap for the steel industry's low-carbon transition, KR R/A43 steel the ETS mechanism is expected to help the industry achieve a 99.7% carbon reduction by 2053. The draft is currently open for public comment, with feedback due by August 4, 2025.
