The relationship between international trade and climate-based regulations has intensified in recent years as countries enact regulations on how much companies should charge for emitting carbon dioxide. One of the main problems associated with implementing unilateral climate-related policies is that some industries may move carbon-emission-intensive manufacturing processes to countries where environmental regulations are not as strict (carbon leakage). To address these issues, the EU created a Carbon Border Adjustment Mechanism (CBAM) that proposes to equalize carbon costs on imported and domestic products. Many of the other nations, such as the USA and Canada, propose or develop their CBAM-type systems, following the introduction of the CBAM by the European Union. This research compares the carbon border adjustment systems proposed by select nations and assesses several factors, including the way the policies have been designed and implemented, what sectors are affected, what components are expected to drive carbon emissions, and how these systems will benefit the environment. A mixed methods design has been adopted using a combination of secondary quantitative indicators for determining the effectiveness of the carbon border adjustments compared to the levels of carbon pricing, carbon emissions intensity, and carbon trade exposure. The findings of this study indicate that a CBAM will enhance the environmental credibility of domestic political action on climate change and help mitigate carbon leakage, but it will significantly vary in terms of its economic impact based on jurisdiction. Finally, the issues associated with setting up the measurement, reporting, and verification component of a CBAM raise significant difficulties with regard to how effective these policies will be in practice. This research will enhance and extend the knowledge regarding CBAM design from a cross-country perspective and also be used to inform global climate policies and global trade policies. The findings suggest that phased implementation of CBAM through international cooperation is a sustainable method of aligning climate ambition with trade objectives.