EU: CBAM postponement to 2027

 

A proposal for an EU regulation amending the Regulation (EU) 2023/956 establishing a carbon border adjustment mechanism was leaked.

The three main conclusions from the draft are:

Delay in CBAM Certificate Sales – The requirement to purchase CBAM certificates is now proposed to be deferred from 2026 to 2027, granting importers additional time to make necessary preparations. However, it is important to note that the costs related to emissions embedded in imports for the year 2026 will still be applicable; they will simply be charged in 2027 (Article 1(14)).

New Exemption Threshold for Small Importers – Companies that import less than 50 tonnes of covered goods annually or goods containing up to 100 tonnes of embedded CO₂ will qualify for an exemption from the EU CBAM. This adjustment removes CBAM obligations for approximately 90% of importers while ensuring that 99% of emissions remain covered under the regulation (Article 1(1), Article 2(3a), Annex VII).

Stricter Penalties for Intentional Non-Compliance – While minor violations may be subject to reduced fines, deliberate attempts to evade regulations—such as import splitting—will now incur significantly harsher penalties, increasing by a factor of three to five (Article 1(26), Article 26(2), Article 27(2)(b)).

Moreover some other important changes are planned:

Simplified compliance, consisting in:

•Quarterly certificate holding requirements have been reduced, potentially easing financial pressure on importers (Article 1(16)).
•EU CBAM declarations will become due in October rather than May (Article 1(5)).

Scope Adjustments:

•Some sub-products are proposed to be exempted from EU CBAM coverage (Annex I).
•Emissions calculations have been simplified for some covered goods(Article 1(5), Annex IV).

It is still open if and when the proposed regulation with amendments will come into force.