CBAM

What it covers

Six sectors: iron and steel, cement, fertilizers, aluminium, hydrogen and electricity. It was created by Regulation (EU) 2023/956, amended in 2025.

Who pays

The European importer. A producer outside the European Union does not file declarations or buy certificates. What it receives is a request from its buyer: the emissions of its product, calculated with the European method and verified.

The dates

Between 2023 and 2025 importers only reported. The definitive regime, with an obligation to pay, has applied since January 1, 2026. The first annual declaration is due on September 30, 2027, for 2026 imports.

If you do not provide data

The importer uses default values, with a mark-up of 10% in 2026, 20% in 2027 and 30% from 2028. For fertilizers the mark-up is 1%.

With those values, importing your product costs your buyer more than importing from a competitor that does provide data.

Source: Carbon Border Adjustment Mechanism, European Commission.