Italian steel traders association Assofermet is calling on the European Commission to rethink the current CBAM framework, warning that the mechanism risks generating severe disruption for EU industry.
In a letter addressed to commission vice-president for prosperity and industrial strategy Stéphane Séjourné and trade and economic security commissioner Maroš Šefčovič, the association urges the adoption of transitional measures. These proposals have already been submitted to Italy’s foreign affairs ministry (MAECI) and the Ministry of Enterprises and Made in Italy (MIMIT). Such measures are needed to ensure a fair and workable CBAM rollout and to “avoid serious repercussions on the EU economy,” states Assofermet’s note, seen by Kallanish.
Assofermet is specifically requesting a temporary exemption from CBAM certificate purchases for all steel imports cleared from 1 January 2026 until five months after the publication of the final Benchmark and Default Value parameters.
The association highlights the situation of uncertainty currently affecting trade, distribution and first steel processing sectors “due to the absence of final parameters for calculating CBAM costs (Benchmarks and Default Values), which will likely be published only in the first quarter of 2026. This lack of information prevents operators… from assessing the actual cost of supplies to be delivered in 2026, as the related CBAM charges will only become known in February 2027,” Assofermet continues.
The assocation further contends that the lack of clarity creates market instability forcing companies to operate “in the dark,” with potentially significant economic consequences for the entire European steel, aluminium and manufacturing supply chain.
Assofermet reiterates its readiness to cooperate with European and national institutions so that the transition to the new regulatory mechanisms is effective, gradual, and consistent with the needs of the European production system.
European coil and semi-finished steel importers are waiting for clarification of the CBAM parameters outlined in the leaked European Commission document circulating the market last week. As the calculation criteria stand, sources say it remains difficult to determine the real cost of importing, particularly because the figures currently available are default values. If importers can demonstrate actual values, those should apply instead, one source notes.
Another market participant estimates that CBAM costs for material from “virtuous” or relatively low-emission producers could be €30-60/tonne, depending on the source. Large buyers are now working closely with their third-country suppliers, effectively “training” them on how to report every element of their production process. Asian mills must provide responsible, and above all verifiable, data for all production phases, starting with energy use and energy type (see Kallanish 24 November).
