According to Reuters, fertilizers, aluminum and electricity are the other goods that would have the CO2 tax imposed for imports.
Companies operating in the EU that choose to import this kind of carbon-rich products will have to also purchase certificates to cover their emissions.
Mohammed Chahim, European Parliament's lead negotiator, said that "it is one of the only mechanisms we have to incentivize our trading partners to decarbonize their manufacturing industry."
EU officials hope that this law will help domestic industry compete with products imported from countries that offer better prices, but at the cost of higher emissions and imported hydrogen will also be covered by the law.
Countries that the EU imports these goods from can be exempted from the rule if their climate goals are meeting those of the EU, with the US being one of the potential manufacturers that could have that benefit.
The latest tax is one of EU's efforts to reduce emissions by 55% before 2030 compared to 1990 levels on the territory.
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