What is the Carbon Border Adjustment Mechanism (CBAM)?
Carbon Border Adjustment Mechanism (CBAM) targets imports of carbon-intensive products, in full compliance with international trade rules, to prevent offsetting the EU’s greenhouse gas emissions reduction efforts through imports of products manufactured in non-EU countries, where climate change policies are less ambitious than in the European Union. It will also help prevent the relocation of the production or the import of carbon-intensive products.
Which products?
Cement, aluminium, fertilisers, electric energy production, iron and steel.
Exemption
Threshold: consignments with a value of less than €150
Liability of the tax
- Importers of the products on which CBAM is applicable
Date of implementation
- As of 2023
- Some provisions will apply as of 2026
Sources
