CBAM: What the new EU simplifications will bring from 2026

As part of the EU-wide drive to reduce bureaucracy, particularly in the environmental, social, and governance (ESG) areas, simplifications in CO₂ certificate trading have been agreed upon. We reported on the corresponding amendment plans as part of the omnibus package here. These plans were largely adopted after a legislative process lasting several months. 

The Carbon Border Adjustment Mechanism will be implemented as planned from January 1, 2026, in its regular phase; until then, the transitional phase regulations will continue to apply. This means that importers of certain products specified by customs tariff numbers in the areas of iron, steel, aluminum, cement, fertilizers, electricity, and hydrogen will be subject to the obligations already described here from January 2026. From this date, only authorized CBAM declarants will be allowed to import such products, unless an exception applies due to the de minimis threshold described below. Following the changes, the import authorization requirement does not apply to economic operators who have applied for authorization in the CBAM register by March 31, 2026. These companies can continue to import CBAM products on a provisional basis without the status. We recommend that affected companies apply for authorization in the CBAM register if they have not already done so. We are happy to assist with such application. 

Introduction of the de minimis threshold 

The introduction of a de minimis application threshold exempts individuals and micro-importers if they import less than 50 tons of net mass of CBAM goods (known as the mass-based threshold). However, caution is advised when importing electricity and hydrogen, to which the thresholds do not apply. In addition, the mass-based threshold may be adjusted by the Commission in the future. Companies should note that the exemption from registration as a CBAM declarant no longer applies if they exceed the threshold in a calendar year. In this case, registration would be mandatory for subsequent imports. 

Simplifications in the CBAM declaration 

Further simplifications apply to those now subject to the obligation. In future, importers will be able to choose between stating actual calculated emissions and using standard values for the emissions data in their CBAM declarations. This saves effort, especially when precise data is lacking – however, electricity is excluded from such simplification. 

There are also changes regarding the consideration of CO₂ prices paid in third countries. According to the original legislation, these are to be taken into account in certificate trading in order to avoid double charging. The Commission has responded to difficulties in determining the actual CO₂ price paid in third countries by introducing a standard carbon price in parallel to standard values. This standard price can be used in CBAM declarations if the price actually paid cannot be determined. 

Similar to the EUDR, third parties can now also be appointed as CBAM representatives to submit CBAM declarations. However, the CBAM declarant remains responsible for compliance with the CBAM Regulation. 

Postponement of certificate sales 

Based on the calculated imported gray emissions, CBAM certificates will have to be surrendered in the future. However, their initial sale by the member states will be postponed by just over a year to February 2027. 

Conclusion 

Overall, the changes can be seen as a relief for EU companies. Nevertheless, some questions remain unaddressed, such as how to deal with certificates that have already been voluntarily acquired. Companies should implement the changes, but also keep an eye on further developments in the legal situation. Regardless of the changes that have now come into force, the CBAM Regulation provides for a review and, if necessary, an adjustment of the entire regulation after the end of the transition period.