CBAM needs fixing — before it’s too late for European aluminium
The European Union’s Carbon Border Adjustment Mechanism (CBAM) was introduced as a bold step in the fight against climate change. It is meant to prevent carbon leakage—where companies move production to countries with weaker climate policies—by ensuring that imported goods face the same carbon costs as those produced within the EU. In theory, this levels the playing field for European industries while pushing other nations towards greener practices.
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But there’s a problem: CBAM, in its current form, simply does not work for aluminium. Instead of protecting one of Europe’s most critical industries, it risks making it uncompetitive, increasing costs for manufacturers, and even worsening global emissions. Without urgent reforms, CBAM could do more harm than good.
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