The European Union has finalized a landmark agreement to reduce carbon emissions by 90% by 2040, marking a significant step in its climate policy. However, the deal has sparked criticism for perceived weakening of earlier commitments, particularly due to provisions allowing member states to purchase international carbon credits and reassess climate targets based on economic performance. Hungary, Slovakia, and Poland opposed the agreement, with Poland securing a delay in implementing a carbon trading plan for transport and heating. Environmental groups, including Greenpeace, condemned the deal for enabling ‘carbon laundering’ by outsourcing emission reductions to less-developed countries. Despite these concerns, EU climate ministers hailed the agreement as a necessary compromise amid geopolitical and economic tensions. The European Parliament must now vote on the agreement before it becomes legally binding. EU leaders, including European Commission President Ursula von der Leyen, will present the deal at the upcoming COP30 climate conference in Brazil, aiming to position Europe as a global leader in climate action. The agreement reflects the EU’s balancing act between environmental goals, economic competitiveness, and energy independence, as Europe faces increasing climate-related challenges like wildfires, heatwaves, and floods.