The EU’s Carbon Border Adjustment Mechanism (CBAM) is impacting how exports to Europe are regulated.
From January 2026, CBAM compliance is mandatory for EU-bound exports.
Three months after the European Union’s Carbon Border Adjustment Mechanism (CBAM) entered its operational phase in January 2026, exporters and importers are navigating a new layer of carbon-linked trade costs and compliance requirements. The mechanism places a carbon price on imports of carbon-intensive products such as steel, aluminium, cement and fertilizers entering the EU.