What does CBAM entail?
CBAM is the EU’s way of setting a carbon price on selected goods imported into the EU in order to create a more level playing field and reduce emissions globally. This applies to, among other things:
- cement
- iron and steel
- aluminium
- fertilisers
- hydrogen
- electricity
During the period 2023–2025, the requirements have mainly concerned reporting. From 2026, importers will also need to purchase CBAM certificates corresponding to the emissions linked to the manufacture of the goods concerned.
What could this mean in practice?
As CBAM covers materials such as steel and aluminium, it could affect costs in many industrial sectors. Examples of effects we are seeing include:
increased costs for materials and goods imported from countries outside the EU indirect effects if European products contain imported inputs
costs that may vary over time, as the price of certificates is market-driven the possibility of price pressure also arising on European materials as the market adjusts.
How Techno Skruv navigates this
We have been working with CBAM and reporting in accordance with current requirements since Q4 2023, which means we already have procedures in place. For you as a customer, this means that we can handle the regulatory part without any major changes in our collaboration – but there may be a cost impact related to materials and purchasing, as described above. At the same time, we are continuing our long-term work to combine delivery reliability with a reduced climate footprint, including by:
- developing supply chains with lower carbon dioxide impact
- collaborating with suppliers who value and meet good quality and sustainability controls
- maintaining close dialogue with suppliers and partners to meet future requirements
Looking ahead
We will provide ongoing information about how CBAM affects our products and any price adjustments. We recommend that you take this change into account in your planning and communication right away.
More information is available here:
European Commission – CBAM
Do you have questions or want to discuss how this may affect you specifically? Get in touch with us – we are happy to help.