EU joins Brazil’s initiative to promote global development of compliance carbon markets

Tuesday, 11 November 2025 16:11:31 (GMT+3)   |   Istanbul

The European Union has announced that it has joined Brazil in the Open Coalition on the Declaration on Compliance Carbon Markets, an initiative expected to be adopted at the World Leaders Segment of the UN Climate Change Conference (COP30) between November 10-21, 2025, in Belém, Brazil.

The declaration promotes carbon pricing and market mechanisms as core tools to advance global climate action and deliver Nationally Determined Contributions (NDCs) under the Paris Agreement.

European Commission president Ursula von der Leyen endorsed the declaration on behalf of the EU, highlighting cooperation with Brazil and other partners to expand the reach of compliance carbon markets.

Expanding reach of carbon pricing

The Open Coalition aims to strengthen the ambition, effectiveness, and fairness of compliance carbon markets as a global policy instrument. It provides a platform for countries to collaborate on carbon pricing frameworks, exchange best practices, and harmonize standards in line with Paris Agreement goals.

According to the World Bank (June 2025), there are 80 carbon pricing instruments across more than 50 countries, covering 28 percent of global GHG emissions. The EU ETS, established two decades ago, has cut emissions by 50 percent in covered sectors compared to 2005 and generated over €250 billion in auction revenues for renewable energy, energy efficiency, and clean transport projects.

In April 2024, the European Commission created the Task Force for International Carbon Pricing and Markets Diplomacy to assist partner countries in building their own ETS and carbon pricing mechanisms.

Global endorsements

The Brazilian COP30 Presidency will also convene a Ministerial Roundtable on November 15 to detail the Coalition’s next steps and encourage additional signatories.

As of now, the declaration has been endorsed by Brazil, China, the European Union, the United Kingdom, Canada, Chile, Germany, Mexico, Armenia, Zambia, France, and Rwanda, with the Coalition remaining open to further participants.

The European Commission confirmed its intention to deepen cooperation with Brazil and broaden multilateral engagement on compliance carbon markets under the Paris Agreement framework.


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