Calculate Embedded Emissions for Unwrought Aluminium (HS7601)

Enter your input

Payable emissions (tCO₂e/t)

Total CBAM Cost (€)

Notes:
There may be a difference when calculating the price with respect to import volume, carbon price, and benchmark emissions, as the embedded formula may result in minor variations due to decimal rounding. Therefore, the actual value may vary.

CBAM is applicable to trade volumes starting from 50 metric tonnes. For trade volumes below 50 metric tonnes, CBAM does not apply.

Usage Procedure – How to use the CBAM Calculator Sheet

Enter or update values only in the INPUT
PARAMETERS section (Highlighted in blue) , including
the carbon price, benchmark emissions, CBAM
chargeable percentage (as per the phase-in year),
and imported quantity.

The system will automatically calculate the payable
emissions and the total CBAM cost (€) based on the
inputs provided.

Notes:
• Change any input value to automatically update CBAM cost.
• Formula used: Carbon price × payable emissions × quantity.
• Model aligned with CBAM supplier-side illustrative methodology.

03 NOVEMBER 2016 AL CIRCLE

Alcoa Corporation rises, parent Arconic slips during market debut

EDITED BY : BEETHIKA BISWAS 3MINS READ

Alcoa has officially separated into two independent companies, as the aluminium major separated its upstream operations from the value added businesses that supply the aerospace and automotive markets.

After the separation, shares of Alcoa Corporation- the spin-off that contains the primary aluminium operation shot up 7.3 per cent to $US23 in New York trading on Tuesday. On the other hand shares of Arconic- the value added or downstream segment, fell 12 per cent to $US18.92.

The split was the brainchild of Klaus Kleinfeld, who has led the company since 2008 and will be CEO of Arconic. He wished to create “two leading-edge companies, each with distinct and compelling opportunities” through the split.

News

The split was announced with an intention to capitalize on the growing value added business of manufacturing products to supply to the aerospace and automotive industries. The value added segment which is now a part of Arconic, is considered as having more growth potential because of the growing demand from aircraft makers for products made from hi-tech aluminium and magnesium alloys.

Currently, Arconic’s businesses are running slow as demand from the aerospace and automotive sectors keeps to its cycles. Sales from the business units under Arconic fell one per cent in the latest quarter YOY to $US3.4 billion ($4.5bn). It was mostly driven by adjustments to delivery schedules in the aerospace industry, slow commercial transport sector in North America and pricing pressures.

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Alcoa’s smelting, mining and refining operations that form Alcoa Corporation remained flat and posted a revenue of $US2.3bn in the latest quarter, as a result of low alumina prices and operation curtailment and closures. The results are partially being affected by Chinese overcapacity.

Roy Harvey, who was heading the primary production took charge of Alcoa Corporation with a market cap of about $US3.36bn.

According to a research by Goldman Sachs spin-offs tend to do better than parent companies. Spin-offs also have outperformed the S&P 500 by 6 percentage points over the same time frame. The management in spin-offs are incentivised well for better performance and they get flexibility in business operation which also results in their outperformance.

We can consider the drop in shares of Arconic as an initial side effect considering the long term goals and growth potentials of the value added applications in aluminium.