An exporter’s technical guide

The guide explains the transition of the EU CBAM to its definitive phase in January 2026, emphasizing the financial impact on exporters of steel and aluminum. It highlights that the use of high default values for missing verified emissions data increases costs, while carbon prices paid in the country of origin can be deducted from CBAM liability.

• The EU CBAM entered its definitive phase in January 2026, shifting from a reporting-only period to a system that imposes binding financial obligations on EU importers of steel, aluminum, cement, fertilizers, hydrogen, and electricity. While the first formal payment is not due until September 2027, liability is accumulating from current shipments.
• The cost of CBAM for importers is heavily dependent on the quality of the exporter's emissions data. Exporters unable to provide verified data are assigned high default values that are scheduled to increase annually through 2028. For steel and aluminum, verified data is required from both the exporter and their input suppliers.
• Exporters can reduce their EU CBAM liability by deducting carbon prices already paid in the country of origin, such as those paid under a domestic emissions trading system, which prevents double carbon pricing.

APA

Bonnet,, G. R. (2026). An exporter’s technical guide. International Institute for Sustainable Development. https://www.iisd.org/publications/guide/navigating-eu-carbon-border-adjustment-mechanism

Chicago

Bonnet,, George Riddell,Antoine. An exporter’s technical guide. International Institute for Sustainable Development, 2026. https://www.iisd.org/publications/guide/navigating-eu-carbon-border-adjustment-mechanism.

Wikipedia

{{cite report |last1=Bonnet, |first1=George Riddell,Antoine |title=An exporter’s technical guide |publisher=International Institute for Sustainable Development |date=17 June 2026 |url=https://www.iisd.org/publications/guide/navigating-eu-carbon-border-adjustment-mechanism |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{bonnet2026exporters, author = {Bonnet,, George Riddell,Antoine}, title = {{An exporter’s technical guide}}, institution = {International Institute for Sustainable Development}, year = {2026}, month = jun, url = {https://www.iisd.org/publications/guide/navigating-eu-carbon-border-adjustment-mechanism}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }