- The CBAM is a key measure in the European Union’s strategy to reduce greenhouse gas emissions and prevent carbon leakage.
- It aims to regulate implicit emissions in imported goods.
- The CBAM aims to reduce global carbon emissions by leveling the playing field for imported and EU-produced goods.
- It encourages sustainability by incentivizing countries to adopt stricter environmental policies.
- The CBAM currently applies to products such as cement, electricity, iron and steel, aluminum, and hydrogen.
- A proposal has been presented to simplify the CBAM, including exemptions for SMEs and occasional importers, setting emission thresholds, and potential modifications to future obligations.
- The mechanism uses a pricing system based on EU greenhouse gas emission allowances for each calendar week.
- Member states will sell CBAM certificates on a central platform, and the price will be calculated based on the weekly average of emission allowances.
- The origin of the product is crucial to determine if it is subject to the CBAM and to assess its viability and competitiveness in the international market.
- The CBAM currently affects only gases and products included in Annex I of the European Regulation related to the production of cement, electricity, iron and steel, aluminum, and hydrogen.
- It is necessary to review the different tariff classifications of imported products to determine if the CO2 emissions tax affects the company.
- From January 2026, it will be mandatory to be a CBAM Authorized Declarant.
- Customs will not be able to clear goods from importers who are not CBAM Authorized Declarants at the European entry customs.
- The process for authorization as a CBAM Authorized Declarant involves submitting an application and having it evaluated.
Source: ayming.es
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
