Turkey Approves Carbon Market Launch to Meet 2053 Net-Zero Goal

Turkey’s Carbon Market Marks Major Climate Policy Shift

Turkey has approved a national carbon market to meet its long-term climate goals. On July 2, the Turkish parliament passed its first-ever climate law. This legislation creates a national emissions trading system (ETS) tied to the 2053 net-zero emissions target.

Companies under the ETS must obtain greenhouse gas permits within three years. The government will launch a pilot phase before full rollout. A new Carbon Market Council will lead implementation and oversight. The council will manage policy planning, permit allocation, and primary auction volumes. Energy Exchange Istanbul (EXIST) will handle secondary market trading.

The law also sets penalties for late emissions reporting. Though some details remain unclear, this move marks a major shift in climate regulation. It also strengthens control over industrial greenhouse gas emissions.

Carbon Trading to Impact Cement and Metallurgy Sectors

The Ministry of Environment named cement and metallurgy as key sectors affected by the new carbon system. These industries emit heavily and must adapt quickly to compliance costs and regulations.

Permits will be auctioned and traded on open markets. This system introduces both risks and opportunities for large industrial players. The policy also aims to offset the impact of the EU’s Carbon Border Adjustment Mechanism (CBAM). CBAM imposes carbon costs on imports into the European market.

Other countries are advancing similar programs. India recently released draft rules for steel under its Carbon Credit Trading Scheme (CCTS). This reflects a growing trend toward global carbon market regulation in heavy industries.

SuperMetalPrice Commentary:

Turkey’s carbon market shows clear alignment with global climate and trade policies. The ETS will impact industrial planning, exports, and competitiveness.
Early-stage uncertainties around pricing and permit volumes need resolution. Cement and metal producers should act now to integrate carbon strategy into their operations. With India and others following suit, carbon pricing is becoming the new normal in global industry.