The European Commission launched a public consultation on a possible extension of the Carbon Border Adjustment Mechanism (CBAM) to include specific downstream products. This consultation is a key step in evaluating the mechanism’s next phase and is highly relevant for all actors across the steel and metals value chain.
Why this matters?
The current CBAM regulation covers basic materials such as steel, aluminium, cement, electricity, and fertilizers. However, to prevent carbon leakage further down the value chain, the Commission is now exploring whether CBAM should also apply to downstream products — goods that are manufactured using CBAM-covered inputs, such as processed steel components, machinery, or fabricated aluminium items.
This follows a clear signal from the European Steel and Metals Action Plan, which called for the inclusion of steel- and aluminium-intensive downstream goods to protect the EU’s industrial base and climate objectives.
What’s at stake?
EUROMETAL encourages its member companies and national federations to participate in this consultation and share concrete feedback on how an extended CBAM might affect supply chains, trade patterns, compliance costs, and competitiveness in the steel distribution and service centre sectors.
Deadline for feedback: 26 August 2025
How to participate?
You can submit your contribution directly on the European Commission’s portal. More information about this consultation can be found here:
