CBAM
Carbon Border Adjustment Mechanism
From 2025
This EU regulation helps prevent companies from relocating their carbon-intensive production to countries with less strict emission rules. CBAM applies to carbon intense goods imported into the EU from non-EU countries. CBAM is the world’s first carbon border tax.
Financial penalties for non-compliance will come into effect from January 2025.
Will you be affected?
You import iron, steel, cement, aluminium, fertilisers, electricity or hydrogen.
You’re an EU comapny with 500+ employees and €150M+ in net turnover worldwide.
You’re a non-EU company with significant activity in the EU (€150M+ in net turnover).
You’re a small or medium-sized listed company, except micro-enterprises.
By 2030, other sectors will be affected – including paper and pulp, chemicals and polymers.
What can you expect?
Significant financial penalties equivalent to €100 per tonne of carbon for non-compliance.
Potential supply chain disruption.
Reputational damage.
How CarbonQuota can help
If your business is importing, exporting and/or converting aluminium based products, reach out to our team of experts for advice on how your organisation can collect and collate the data for your CBAM submissoin.
