[Rising carbon costs, France and Germany urge the EU to prevent European industrial relocation] October 6th, France and Germany are joining forces to put pressure on the European Commission to design a new protection mechanism for European exporters. The two countries will press the European Commission to come up with solutions to prevent the relocation of European industry as climate rules tighten, according to a draft document seen by Bloomberg. Other major economies such as Spain and Italy are also expected to support the initiative. The draft document mentioned, “If no compensation measures are taken, the carbon costs borne by EU producers will gradually increase, which will weaken their competitiveness in third country markets and may lead to carbon leakage.” (The Paper)