CBAM: How the world will share the EU’s climate ambitions
Report summary
Table of contents
- Executive summary
-
CBAM: how the world will share the EU’s climate ambitions
- The EU is pushing for early implementation and wider scope of the CBAM
- How will the CBAM impact the EU market?
- Importers will face higher carbon and administrative costs
- Producers will no longer be shielded by free allowances
- Manufacturers may pass higher costs to consumers
- EU trade partners will feel greater pressure in relevant upstream materials sectors
- EU trade partners will eventually want to introduce a domestic carbon tax, with cascading effects globally
- The CBAM will likely change competitive dynamics between the EU and foreign producers
- Will the EU CBAM generate a decarbonization domino ?
- Wood Mackenzie expects the CBAM to continue on an accelerated schedule and wider scope
Tables and charts
This report includes 12 images and tables including:
- CBAM legislative process
- An extended scope and an earlier implementation of the CBAM
- EU ETS allowance auction (2021-2032)
- Phase-out of free allowances
- Effective CBAM rate
- EU’s import value in CBAM sectors and carbon price in trade partners
- EU steel import composition by value (2021)
- Average steel plant emission intensity
- EU aluminium import value composition by value (2021)
- Average aluminium smelter emission intensity
- Change in comparative advantage associated with carbon cost (steel and aluminium)
What's included
This report contains:
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