Turkey is advancing the development of a national Emissions Trading System (ETS) as part of its broader climate commitments under the Paris Agreement, at a time when carbon pricing is expanding globally, and the EU Carbon Border Adjustment Mechanism (CBAM) is set to impose a carbon cost on exports to the EU from 2026. As a major trading partner of the EU, the effectiveness of the Turkish ETS will be critical not only for reducing emissions but also shielding Turkish industry from CBAM costs and strengthening Turkey’s position in a decarbonising global economy.