Full Implementation (Starting Jan 2026):
EU importers will need to declare the total embedded emissions of their imported goods each year.
They will then purchase and surrender CBAM certificates corresponding to those emissions.
The certificate price will be linked to the weekly average price of EU ETS allowances.
What Products Are Affected?
Initially, CBAM focuses on carbon-intensive sectors:
Iron and Steel
Aluminium
Cement
Fertilisers
Electricity
Hydrogen