1. Responsibilities of exporters to the EU:

– Providing carbon emissions data: Manufacturers and exporters from outside the EU are required to collect and provide detailed data on the CO2 emissions associated with the production of products exported to the EU. This data must be transparent and accurate.

– Cooperation with importers: Exporters need to cooperate closely with importers within the EU to provide adequate documentation to demonstrate product emissions, especially when importers require them to fulfill their reporting responsibilities.

– Improve production processes: To reduce the burden of CBAM, manufacturers may have to improve technology and reduce emissions in the production chain to reduce the number of CBAM certificates that importers have to purchase.

2. Responsibilities of importers to the EU:

– Reporting of emissions of imported goods: Importers to the EU are responsible for reporting the carbon emissions associated with the goods they import into the EU market. This must be done annually and the report must include accurate information on the product’s emissions.

– Purchase of CBAM certificates: To offset the carbon footprint of goods, importers must purchase the corresponding CBAM certificates. Each certificate represents one ton of CO2 emitted during the production of the product. The price of these certificates will fluctuate according to the carbon price in the EU ETS (EU Emissions Trading System).

– Annual reporting and CBAM compliance: Importers must submit annual reports on the quantity of imported goods and related emissions, and pay the required number of CBAM certificates.

3. Both exporters and importers need:

– Monitoring emissions regulations and standards: Understanding EU carbon emissions standards and the phased implementation of CBAM is crucial to ensure compliance.

– Prepare an emissions reporting system: Both exporters and importers need to have a system to accurately calculate and report emissions, and be transparent in managing emissions from the supply chain.

In our last article  , we highlighted that the European Union is urging companies to adopt CBAM and assess the CO2 emissions generated by their non-EU suppliers. Many businesses find this challenging due to a lack of the right tools and resources to meet these requirements. 

CBAM Reporting is a quick and simple solution for:

For EU companies importing from outside the EU:

ESG Education & Business together with Normec offers a simple solution, providing tools to help your suppliers calculate and report their CO2 emissions easily.

For non-EU companies exporting to the EU:

ESG Education & Business together with Normec provides a quick and simple way to generate the necessary emissions data your EU buyers need for CBAM reporting.