EU Carbon Border Adjustment Mechanism regulation enters into force
More responsibility is due to apply to EU importers of iron, steel, cement, fertilisers, aluminium, electricity and hydrogen from October 1st 2023 as part of the new EU Carbon Border Adjustment Mechanism (CBAM). The CBAM regulation entered into force after its publication in the EU Official Journal on May 16th 2023 and reporting obligations will start applying this autumn. The Carbon Border Adjustment Mechanisms aims to refrain businesses from moving their carbon-intensive production to overseas territories where local climate policies may be more indulgent. By applying a levy on the import of such goods, the EU authorities are hoping to push for a cleaner industry and create a level playing field with domestic and non-EU businesses.
