The UK Government has published a Consultation on the introduction of a UK carbon border adjustment mechanism (UK CBAM) to apply from 1 January 2027. The CBAM will apply to imports of carbon-intensive goods from sectors such as aluminum, cement, ceramics, fertilizers, glass, hydrogen, and iron and steel. The Consultation closes on 13 June 2024 and covers details on the sectors and goods in scope, liability calculation, and administration of the UK CBAM. The government has also provided proposed Harmonized System (HS) codes and criteria for calculating the CBAM liability.
Source EY
