Making CBAM work for complex value chains

21 April 2026, 09h00 – 12h30, Brussels

Venue: Hotel Martins Brussels EU, Boulevard Charlemagne 80, 1000 Brussels

The EU's Carbon Border Adjustment Mechanism (CBAM) is meant as an instrument to avoid carbon leakage in the energy and emission intensive industries. It requires importers from global markets to top up their products with a price for carbon when entering the EU, thus leveling up with locally produced goods under the European carbon pricing regime. However, on international markets, European producers face higher costs than non-EU competitors. This puts domestic industries at a competitive disadvantage abroad and adding pressure on industrial locations and jobs in Europe, often then lacking resources for investments and decarbonisation.

Therefore, we would like to discuss with experts from the Climate Friendly Materials Platform, academia, think tanks, politics, unions and industry how CBAM can be further developed or reformed for sectors with complex value chains (Steel, organic chemistry and AL). Currently these sectors lack a reliable framework that incentivises investment in climate-neutral production of basic materials and effectively limits carbon leakage risks. In particular, we will discuss the possibility of using standardised values to extend CBAM coverage to the full value chain and to exports using established border adjustment procedures.

Te meeting envisages an in-depth discussion of one structural reform option: a shift from border adjustment based on production specific to standardized values for sectors with complex value chains. 

Guiding questions will be: 

• What are the opportunities and challenges for the different sectors?
• What are the opportunities and challenges for the manufacturing industries?
• What are the opportunities and challenges for the different MS? 
• What are the international implications? 

Contact: Stephan Thalhofer, Policy Advisor, FES Competence Centre Climate and Social Justice