Carbon Border Adjustment Mechanism:

Important Updates for 2024

Carbon Border Adjustment Mechanism: Important Updates for 2024
  • October 09, 2024

As of Q3 2024, Carbon Border Adjustment Mechanism (CBAM) reporting declarants may continue using default values to account for embedded emissions for complex goods, but this can now cover only up to 20% of the total embedded emissions. For non-complex goods, actual values of total embedded emissions must be calculated and reported, making accurate tracking more critical than ever.

The deadline for submitting the Q3 2024 report is 31 October 2024. The “Request Delayed Submission” feature is available to accommodate late submissions. This can be used both if a draft report was created before the 31 October 2024 deadline or if no draft was initiated by then. Any required changes to the submitted reports can be made until 30 November 2024.

Declarants will also benefit from a more flexible reporting format, as CBAM now allows reports to be uploaded in ‘xlsm’ form. However, from 1 January 2026 onwards, only authorized declarants will be permitted to submit reports. It is therefore essential for declarants to monitor the issuance of the respective application forms to ensure they are prepared for this new requirement. Keep watching this space for any further updates.

Follow us