Impacts of the EU carbon border adjustment mechanism

Production and trade of hydrogen as an energy carrier and industrial feedstock

Political and economic union of European states; sets climate, energy, trade and external funding policies, including the Global Gateway and hydrogen import strategy.

The EU's flagship climate policy tool that sets a cap on total greenhouse gas emissions from covered installations and allows trading of emission allowances.

Systems for measuring, tracking, and reporting direct and indirect (scope 1, 2, and 3) emissions from industrial production, required under CBAM for non-EU manufacturers exporting to the EU.

An EU policy instrument that puts a fair price on carbon emitted during the production of carbon-intensive goods entering the EU, extending the EU Emissions Trading System (ETS) to imported goods.

Tradeable certificates purchased by EU importers to offset embedded CO2 emissions in imported covered goods (cement, iron and steel, aluminium, fertilisers, electricity, hydrogen)

Hydrogen is classified as a carbon-intensive good subject to CBAM regulations. Hydrogen exported to the EU must be accompanied by emissions intensity data and triggers CBAM certificate purchase requirements for importers.