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Frequently Asked Question
Carbon Border Adjustment Mechanism (CBAM) is an EU carbon price on imports of carbon-intensive goods: steel, aluminium, cement, fertilisers, electricity, and hydrogen. Importers must purchase CBAM certificates equivalent to the embedded carbon cost in the imported goods. CBAM transitional period: 2023-2025 (reporting only). Full effect: from 1 January 2026. Indian steel and aluminium exporters to EU face a significant cost unless they can demonstrate low-carbon production.
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