EU Carbon Border Adjustment Mechanism – CBAM Best Practices and Reporting

The European Union published their Carbon Border Adjustment Mechanism (CBAM) into law on May 10, 2023. CBAM functions as a tariff placed on carbon emitted during the production of specific carbon intensive goods entering the EU single market. These goods include aluminum, iron, and steel. This carbon tax requires companies to gather detailed information from their supply chain to determine the direct and indirect emissions associated with their products.

To help the non-road equipment manufacturing industry meet these new requirements, AEM and its member companies are providing educational resources intended to outline the best practices for impacted stakeholders, as well as a simplified reporting template intended to gather and communicate this data down the supply chain.

AEM Industry Best Practice Compliance Materials:

EU CBAM Resources: