EU Flash News | THE EU ADOPTS CBAM SIMPLIFICATION: WHAT IT MEANS?

Today, the Council of the European Union has adopted a regulation that introduces significant simplifications to the Carbon Border Adjustment Mechanism (CBAM) as part of the ‘Omnibus I’ legislative package. This move, which follows calls for a “simplification revolution,” aims to reduce the administrative burden and compliance costs for importers, particularly SMEs, while fully maintaining the CBAM’s climate ambition.

INDEX

Here are the highlights every importer needs to know:

New ‘De Minimis’ Threshold: Exemption Up to 50 Tonnes

The most significant change is the replacement of the current negligible value threshold with a new ‘de minimis’ mass limit. Imports of CBAM goods up to 50 tonnes per importer per year will now be exempt from CBAM rules. This measure is specifically designed to relieve SMEs and individual importers handling small quantities of CBAM goods, ensuring a major reduction in red tape for minor operations.

Smooth Imports Pending Registration

To prevent disruption at the start of 2026, the regulation allows non-yet-registered importers to bring in CBAM goods under certain conditions while awaiting their CBAM registration. This flexibility ensures a smoother transition into the period of full enforcement.

Further Semplification for All Importers

The regulation introduces a range of modifications that will make compliance more manageable for all operators:

  • Streamlined Authorisation Procedures: Optimizing the process for becoming an ‘Authorised CBAM Declarant’.
  • Data Collection and Emissions Calculation: Less complex procedures for data collection and calculating embedded emissions.
  • Verification Rules: Revised verification rules for greater clarity and efficiency.
  • Penalties and Indirect Customs Representatives: Adjustments to provisions on penalties and clarification on the rules concerning indirect customs representatives.

Our Take

This simplification strikes a pragmatic balance between climate ambition and economic competitiveness. As stated by Danish Minister Marie Bjerre, the goal is to “reduce unnecessary burdens” and make life easier for European businesses, all while maintaining about 99% of embedded emissions under the mechanism’s coverage.

For importers, it is essential to:

  • Assess your position: Determine whether your import volumes fall within the new 50-tonne annual ‘de minimis’ threshold.
  • Prepare for 2026: Leverage the simplified procedures for an easier entry into the full enforcement phase.

Next Steps

The regulation will be published in the EU’s Official Journal in the coming days and will enter into force on the third day following its publication.

Our Environmental and Trade Law team is fully prepared to:

  • Analyse the specific impact of the new regulation on your import strategy.
  • Assist you in tracking and monitoring the 50-tonne annual limit.
  • Guide you through the simplified authorisation and compliance procedures.

Do not hesitate to contact our experts to discuss how these changes can optimize your operations.

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Our Bruxelles Headquarter

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