Until now, countries lagging behind others in cutting carbon emissions haven’t faced any downsides apart from higher energy costs. All international climate agreements are effectively voluntary. But this is finally about to change. On 1 January, the European Union will start charging a carbon tariff on imported goods that effectively penalises climate laggards – the first to be introduced anywhere in the world.

Needless to say, the nations that will be forced to pay these carbon taxes aren’t happy about it. Tensions have been ramping up in the lead-up to the start of the EU’s carbon border tariff, or what it calls a carbon border adjustment mechanism. The trade disputes are likely to continue, but the tax is here to stay – and is the first of many, says Ellie Belton at climate think tank E3G.