According to a recent report by the Korea International Trade Association, South Korea's exports to the European Union are projected to be heavily impacted starting from 2031 due to the EU's implementation of the Carbon Border Adjustment Mechanism (CBAM). The report highlights that the scope of affected products will broaden from steel, aluminum, and cement to include equipment and machinery, electronics, transport machinery, medical devices, and measuring instruments. This change is significant given that 94% of the new products falling under CBAM are expected to have high content of steel and aluminum, indicating a pressing need for South Korea to build low-carbon supply chains.