Carbon Border Adjustment Mechanism

Question écrite de M. Georg MAYER - Commission européenne

Question de M. Georg MAYER, M. Harald VILIMSKY,

Diffusée le 27 octobre 2024

Subject: Carbon Border Adjustment Mechanism

The European Carbon Border Adjustment Mechanism (CBAM), which is part of the European Green Deal, is due to fully come into force as of 2026. The test phase is still ongoing. However, industry associations are now complaining that the legislation is extremely inadequate. Just under 14 months remain until the CBAM is introduced in full and, according to the Chief Executive of the German Engineering Federation, the Federation of German Industries and the German Chamber of Industry and Commerce, improvements are urgently needed. Criticism is focused on the considerable volume of red tape involved. The de minimis limit, which is intended to counteract the red tape, is not effective and, in addition, is to be completely done away with. Particularly for countries that are very much geared towards exports, the CBAM represents a significant burden.

1. How does the Commission intend to respond to industry’s complaints, and will any changes be made?

2. To what extent is this fair by comparison with countries such as France that are benefiting greatly from the new regime?

3. How does the Commission intend to ensure that the de minimis limit is not only retained, but also raised?

Submitted: 28.10.2024

Réponse - Commission européenne

Diffusée le 12 janvier 2025

Answer given by Mr Hoekstra on behalf of the European Commission

(13 January 2025)

Since the start of the Carbon Border Adjustment Mechanism (CBAM) transitional period in October 2023, the Commission has been providing detailed guidance to help importers adapt to the new reporting requirements, including detailed manuals, webinars, and e-learnings. As of 31 October 2024, over 71.000 reports were submitted from over 33.000 importers covering more than 150 countries.

During this learning phase, the Commission has been gathering data and information on implementation, including through direct exchanges with industry.

During the November 2024 meeting of the CBAM Expert Group gathering representatives from Member States, EU associations and third countries, ideas for the simplification of the CBAM were discussed.

The Commission is committed to addressing potential issues identified during the transitional period ahead of the start of the definitive period, after sufficient data from CBAM reports has been collected, and to ensure a smooth roll-out of the mechanism during the post-2025 period. Among others, the Commission is currently looking into the question of the application of the de minimis CBAM rule in the definitive period.

The CBAM applies evenly across the EU, and only to imports. In relation to exports, as mentioned in its 2024 Carbon Market Report (1), the Commission will further look in 2025 into the carbon leakage risk of goods produced in the Union for export in a report on the application of the CBAM to the European Parliament and to the Council.

1 ∙ ⸱ https://climate.ec.europa.eu/document/download/92ec0ab3-24cf-4814-ad59-81c15e310bea_en?

filename=2024_carbon_market_report_en.pdf

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