According to the report, the European Commission (EC) recently released the Carbon Border Adjustment Mechanism (CBAM), requiring importers must declare the carbon emission of their goods and will not have to pay tariffs during 2023-2025.

This measure levy should be executed from 2026, importers must submit the quantity of imported goods and carbon emissions in the previous year, meanwhile, attaching the corresponding number of CBAM licenses.

In addition, the CBAM license must be purchased from the official in advance, and the price will be calculated based on the European Union’s Emissions Trading System (ETS).

Steel products involved Combined Nomenclature (CN) codes including CN 7301, CN 7302, CN 7303 00, CN 7304, CN 7305, CN 7306, CN 7307, CN 7308, CN 7309, CN 7310, CN 7311. Aluminum products involved CN codes including CN 7601, CN 7603, CN 7604, CN 7605, CN 7606, CN 7607, CN 7608, CN 7609 00 00.