CBAM 2.0: Implications of Proposed Changes to the EU’s Carbon Tariff
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CBAM 2.0: Implications of Proposed Changes to the EU’s Carbon Tariff

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The Omnibus Simplification Package introduces a significant change to the EU Carbon Border Adjustment Mechanism (CBAM) regulation. The mechanism applies to all companies—regardless of headquarters location—that import covered goods to the EU. The revision exempts small and medium-sized enterprises (SMEs) and streamlines compliance measures. While the revision aims to reduce administrative burdens, it also raises concerns about the long-term efficacy of the CBAM in achieving its environmental objectives.

The Omnibus Simplification Package introduces a significant change to the EU Carbon Border Adjustment Mechanism (CBAM) regulation. The mechanism applies to all companies—regardless of headquarters location—that import covered goods to the EU. The revision exempts small and medium-sized enterprises (SMEs) and streamlines compliance measures. While the revision aims to reduce administrative burdens, it also raises concerns about the long-term efficacy of the CBAM in achieving its environmental objectives.

Authors

Ioannis Siskos

Ioannis Siskos Ioannis Siskos

Senior Research Fellow, Governance & Sustainabilit…
The Conference Board

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Anuj Saush

Anuj Saush Anuj Saush

Head, TCB Advisory International
The Conference Board

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