The environment ministers of France, Italy and Slovakia submitted a note to their EU counterparts on the implementation of the Carbon Border Adjustment Mechanism (CBAM) at the Environment Council on Thursday 27 March. The three signatory countries stress that CBAM can be made even more effective in preventing carbon leakage, and simpler for businesses.
Several of the recommendations are in line with the European Commission’s recent statements on the subject. This is the case with the extension of CBAM to cover downstream products and the wider use of default values for calculating emissions.
The three countries welcome the reduction in the number of companies targeted by CBAM, but feel that an exemption for small importers would also be welcome.
They also raise the issue of exports of CBAM-covered products by European companies, which may be at a disadvantage on world markets. The European Commission has indicated that it is looking for a solution in this area. France, Italy and Slovakia are proposing a way forward: the analysis of the risks of carbon leakage for exports, due to be carried out in 2027, should start before the end of the transition period, i.e. before 2026. (Original version in French by Léa Marchal)