European Parliament approves CBAM simplification

In particular, a new minimum import weight threshold has been set and reporting rules have been simplified

On September 10, the European Parliament finally approved the simplification of the Carbon Border Adjustment Mechanism (CBAM). This is stated in the institution’s announcement.

These changes are part of the Omnibus I package presented in February this year.

MEPs, in particular, approved the following steps.

Setting a new minimum threshold of 50 tons of imports per year, which will exempt 90% of importers (mainly small and medium-sized enterprises and individuals) from the CBAM carbon tax. It will replace the current one, which exempted goods of insignificant value from taxation.

As noted, the climate ambitions underlying the mechanism remain unchanged, as 99% of total carbon emissions from imports of iron, steel, aluminum, cement, and fertilizers will continue to be covered by CBAM. The amendments will also introduce safeguards to ensure this, and anti-abuse provisions will be strengthened to prevent circumvention of the regulation.

Import rules that remain under the mechanism have also been simplified, for example, regarding the authorization process, emissions calculation, verification rules, and financial liability of authorized CBAM declarants.

The start of CBAM certificate purchases has been postponed from January 2026 to February 2027 (covering emissions from goods imported in 2026).

The reporting deadline has been extended from May 31 to October 31 of the following year.

Importers are now entitled to deduct carbon costs paid in any third country, not just in the country of origin.

Declarants under the mechanism may delegate reporting obligations to a CBAM representative.

The text has yet to be formally approved by the European Council. It will enter into force three days after its publication in the Official Journal of the EU.

As a reminder, the European Commission has confirmed that the Cross-Border Carbon Adjustment Mechanism (CBAM) will be implemented as scheduled, starting January 1, 2026. The Directorate-General for Taxation and Customs Union (DG TAXUD) provided the relevant clarification in response to a request from the Eurometal association.