 "Steel")
The proposed EU Carbon Border Adjustment Mechanism (CBAM), a tariff on import of carbon-intensive goods, is likely to impact steel exports from India, putting manufacturers here in a quandary.
The CBAM, aimed at preventing “carbon leakage”, will be phased in gradually. As things stand, starting October 1, importers in the European Union, of products from specific sectors such as iron & steel, aluminium, electricity, certain fertilisers, cement and hydrogen, would have to start collecting and reporting carbon data. CBAM will come into force in2026, with a levy linked to the EU carbon market price.
The EU is a key market
