The European Union has taken a significant step forward in implementing the Carbon Border Adjustment Mechanism (CBAM) with the publication of the first official price for its carbon certificates. This marks a key step forward in the mechanism’s implementation over the coming years. Following the start of its operational phase, the European Commission has published the first quarterly price for the certificates. This marks the beginning of a reference system for carbon prices applied to imports.
According to the established schedule, throughout 2026, certificate prices will be announced and calculated on a quarterly basis. This approach aims to ensure that published prices are consistent, transparent, and aligned with the European market. The dates for the publication of prices are:
- First quarter: April 7, 2026
- Second quarter: July 6, 2026
- Third quarter: October 5, 2026
- Fourth quarter: January 4, 2027
Prices and Methodology
On April 7, 2026, the European Commission announced that the price of CBAM allowances for the first quarter of 2026 had been set at €75.36 per ton of CO₂. This figure represents the first concrete indication of the cost that importers will have to assume for emissions associated with products entering the European market through this mechanism.
The price calculation is based on a methodology designed to ensure consistency with the EU Emissions Trading System (EU ETS). Specifically, it is based on the weighted average of auction prices for emission allowances in the EU ETS. This approach aims to ensure that European producers and importers face an equivalent carbon price, thereby avoiding competitive disadvantages and reducing the risk of “carbon leakage.”
In 2026, prices will be published quarterly; however, starting in 2027, the system will change, and prices will be published weekly, demonstrating the mechanism’s greater maturity. These prices will be calculated during the first week following the end of each quarter and will use publicly available data from EU ETS auctions. These prices will apply to emissions from goods imported during that same quarter.
From an operational standpoint, CBAM allowances will not be purchased immediately. Importers will be required to begin purchasing them in February 2027 to cover emissions from imports made in 2026. All transactions will be processed through a common central platform, which will facilitate the administration of the system.
Political Context and Industry Implications
The announcement of this first price comes in the context of political debate and regulatory adjustments surrounding the CBAM and the carbon market in general. Currently, European institutions are working on potential modifications to the mechanism, including its expansion to processed products starting in 2028. Additionally, companies importing less than 50 tons of products covered by the system are exempt, which reduces the burden on small operators.
Meanwhile, the steel sector, among others, has already reacted to the announcement of the first-quarter price. The European Steel Association (EUROFER) has called on lawmakers to strengthen the design of the CBAM before its full implementation. Among its proposals are expanding the scope of the mechanism to more products, strengthening traceability, especially for steel, and closing potential loopholes that could undermine its effectiveness.
The industry has also expressed concern about the international competitiveness of European producers and has called for solutions for exports, as well as greater alignment between the CBAM and the EU Emissions Trading System (EU ETS), particularly regarding the use of international credits and the rules applicable to certain processes within the European customs territory.
Finally, the setting of the first CBAM price not only provides clarity on the cost of carbon for importers but also marks the beginning of a new phase in EU climate policy. As the mechanism evolves and is adjusted in the coming years, it will be essential to see how environmental objectives are balanced with the economic and trade concerns of the various sectors involved in the future.
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