January 2027 may seem a long way off, businesses importing affected products should be preparing now and talking to Suppliers.
CBAM initially covers five sectors:
- Aluminum
- Cement
- Fertilizers
- Hydrogen
- Iron and steel
Not every product within these sectors above is automatically covered. CBAM applies to specified goods identified by their commodity/HS codes. So getting the commodity code right will be an important part of determining whether a UK import falls within CBAM. It is good practice to review your HS codes on a regular basis.
Follow the latest updates here:
Carbon Border Adjustment Mechanism (CBAM) - GOV.UK
Read the Official Statement here
CBAM legislation and guidance is still being finalised.