The price of Carbon Border Adjustment Mechanism (CBAM) certificates for the first quarter of 2026 has been set at €75.36 ($87.23), the European Commission revealed on Tuesday.
Prices are calculated by the Commission as the average of EU Emissions Trading System (EU ETS) auction clearing prices. This ensures a fair and consistent alignment with the EU carbon market, the Commission says. 2026 prices are calculated quarterly, while for imports from 2027, the Commission will calculate a weekly price for CBAM certificates, Kallanish notes.
The Q1 price aligns exactly with the European Energy Exchange (EEX) price published last week. It is lower than some market participants had been expecting given the much higher prices of ETS certificates in January, when they peaked at over €92. They have since come down as a result of the European Commission signalling it will revise the ETS system.
The published price is the last piece of the puzzle needed to calculate the CBAM cost per tonne of steel using the formula: actual or default embedded emissions – (corresponding emission benchmark x CBAM factor) x EU ETS (CBAM) price – carbon tax paid.
The CBAM price applies to each certificate that applies for every tonne of CO2 equivalent for goods imported between January and March. “So if you imported iron, steel, cement and other CBAM goods into the EU in the first quarter, then next year when you come to make your CBAM declaration, you’re going to be having to buy those CBAM certificates at €75.36,” says Cbamboo founder and chief executive Gabriel Rozenberg.
This is an important development for EU importers as “you have a real published price to calculate your Q1 liability”, says CarbonChain carbon specialist Jack Laing. Based on the published Q1 price, imports from India of 720837 hot rolled coil would incur a CBAM cost of €254.13/tonne for Q1 clearances when using default values. Using actual values could potentially bring that cost down by five-fold, points out CarbonChain product manager and CBAM lead Nick Oglilvie.
CBAM declarants will only begin purchasing CBAM certificates from February 2027. The early publication of certificate prices aims to enhance transparency, provide stakeholders with timely information, and reduce the risk of inconsistent or unofficial price estimates circulating in the market, the Commission notes.
Certificate prices for Q2, Q3 and Q4 2026 will be published on 6 July 2026, 5 October 2026 and 4 January 2027 respectively.
Author: Adam Smith
