Creating a level playing field for all steel

A Carbon Border Adjustment Mechanism (CBAM) creates a level playing field by applying carbon prices at the border that are equivalent to those faced by domestic producers.

The EU is implementing a CBAM policy

The European Union is implementing a CBAM policy, initially phasing in reporting requirements from October 2023 before the CBAM compliance carbon costs apply from 2026 onwards.

Steel could flood the UK market

If the UK CBAM policy is not designed correctly, we will see steel flooding into the UK, displaced from the EU, that didn't face a carbon price and therefore undercuts our domestic market with high-emission steel, making a mockery of the Government's Net Zero ambition.