Tips and Tools to Make CBAM Emissions Reporting Easier

After a two-year transition period, full implementation of the European Union’s Carbon Border Adjustment Mechanism (CBAM) is set to begin on Jan. 1, 2026.   Designed to support the EU’s decarbonization goals, CBAM functions as a tariff placed on carbon emitted during the production of specific carbon intensive goods entering the EU single market, including aluminum, iron, and steel. This carbon tax requires companies to gather detailed supply chain information to determine the direct and indirect emissions associated with their products.  “CBAM charges a tariff on the embedded carbon content of certain imports from non-EU countries,” explained Amy Ryu, head of product at Tracera, an AI-powered sustainability data collection platform. This tariff is designed to counter the risk of “carbon leakage” that results from EU companies importing carbon intensive raw materials from abroad, as opposed to buying them from companies in the EU that must pay a carbon price. To that end, CBAM seeks

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Oct 1, 2025 - 23:35
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Tips and Tools to Make CBAM Emissions Reporting Easier
After a two-year transition period, full implementation of the European Union’s Carbon Border Adjustment Mechanism (CBAM) is set to begin on Jan. 1, 2026.   Designed to support the EU’s decarbonization goals, CBAM functions as a tariff placed on carbon emitted during the production of specific carbon intensive goods entering the EU single market, including aluminum, iron, and steel. This carbon tax requires companies to gather detailed supply chain information to determine the direct and indirect emissions associated with their products.  “CBAM charges a tariff on the embedded carbon content of certain imports from non-EU countries,” explained Amy Ryu, head of product at Tracera, an AI-powered sustainability data collection platform. This tariff is designed to counter the risk of “carbon leakage” that results from EU companies importing carbon intensive raw materials from abroad, as opposed to buying them from companies in the EU that must pay a carbon price. To that end, CBAM seeks
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