European Commission Simplifies CBAM

One of the most significant proposed adjustments is that 90% of importers of CBAM goods will be exempt from obligations. For the companies that remain subject to the scheme, the rules will be less complex.

The main changes of the proposal are:

• Importers who annually import less than 50 tons of CBAM goods will no longer be required to submit reports. This means that only a small percentage of importers will still fall under CBAM, while 99% of emissions will still be covered.
• Emissions monitoring will be simplified. Standard values can be applied more easily, eliminating the need for complex verifications. Reporting will be limited to emissions from the production of key raw materials, without including the processing steps towards the final product.
• Importers will have the option to appoint an external advisor to handle CBAM declarations on their behalf.
• The obligation to purchase CBAM certificates on a quarterly basis will be eased. Previously, 80% of embedded emissions had to be covered, but this will be reduced to 50%. This obligation will not apply in 2026 but will come into effect from 2027 onward.
  

What does this mean for importers?

Although this proposal still needs to go through the European legislative process and may be subject to further changes, it is clear that relief is on the way for many businesses. The European Commission has indicated that it aims to accelerate the decision-making process, but an exact timeline has not yet been announced.