The EU CBAM which proposes to impose carbon content related tariffs on the imports of energy-intensive goods to the EU could have significant implications for the exports of energy intensive goods from developing countries. In this study three different scenarios were constructed, using a CGE model, to assess the economic impacts of CBAM on India. The results indicate that in general CBAM could have negative impacts on GDP and EU exports. However, the imposition of a domestic carbon tax (cooperative burden sharing) could help to reduce the adverse effects.