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EU's Carbon Border Adjustment Mechanism (CBAM) Standards 2025 is the year when export companies need to take action. When 2026 comes and you don't have a certificate on your hands, your export shipments stop at the border and you sell at cents on the dollar. That's basically what you need to know now about CBAM. The CBAM represents the EU’s commitment to leveling the playing field for European and international businesses by imposing carbon-related costs on imports with significant emissions. This move pressures foreign exporters to meet the same environmental standards as EU-based companies, which is particularly impactful for industries such as steel, cement, aluminum, and fertilizers—sectors heavily affected by CBAM. https://lnkd.in/gDawM47y ABN Green: Empowering Export Businesses for EU Carbon Compliance.

Namibia shows us what is possible when we unite for sustainable development. Through technology & partnership, we can unlock brighter futures. Here's to working together in 2025 and beyond! Wishing us all a bright new year. 🌍✨ Read more: https://lnkd.in/d83WJq2A #SustainableFinancing #SDGs #PartnershipForChange" Tom Beloe Maxwell Gomera Ahtesham Khan Moortaza Jiwanji Raymond Gilpin Alka Bhatia Gloria Kulaya Kiondo Ahunna Eziakonwa As the new year dawns, our paths converge, With the believe of sustainability and progress, a shared urge. In partnership lies the power to transform, To weather storms and reform the norm. Namibia taught us what we can achieve, When hands are joined and we believe. Solidifying our believe that Parnerships and Technology fuels the future so bright, To 2025, with hope we steer, Together stronger, year by year. Sustainable dreams, taking flight, as we look to the future of public fiancing for SDGs.

In a recent interview, Jenaro Laris, Chief Mexico Officer, SACE, shared insights on the agency's evolution over the past decade, focusing on sustainability and nearshoring. He discussed the Push Strategy designed to enhance financing for Italian exporters and SACE's commitment to supporting businesses in their transition to sustainable practices. To learn more about SACE's initiatives and their impact on Italian companies in Mexico, read the full interview in #MexicoBusinessNews. 🔗 Read the full interview here: https://lnkd.in/ePa8EnPy #MexicoBusinessNews #SACE #Sustainability #Nearshoring #ItalianExports

CARBON BORDER ADJUSTMENT MECHANISMS: They are not all equal... While the direction of travel is unifrom the approach and the timings are not! For many organisations and their #procurement teams this will mean that there will be need for greater collaboration: #sustainability, #environmental, #finance for an optimal and aligned strategy. In short; The UK, EU, and US are all considering or have implemented Carbon Border Adjustment Mechanisms (CBAM's) to reduce greenhouse gas emissions and encourage decarbonisation: EU: The EU's CBAM took effect in October 2023 and will be fully effective in 2026. The CBAM will charge importers for certain carbon-intensive goods from countries without similar carbon pricing. The EU's CBAM will initially apply to goods from the cement, electricity, fertilisers, aluminum, iron, steel, and hydrogen sectors. The EU plans to expand the CBAM to all sectors subject to the EU Emissions Trading System (ETS) by 2030. UK: The UK announced in December 2023 that it will implement a CBAM by 2027 and will apply to imports of specific goods in the aluminum, cement, fertilisers, hydrogen, and iron and steel sectors, it will include carbon dioxide (CO2) emissions across all sectors, as well as nitrous oxide (NO2) for fertilisers, and perfluorocarbons (PFSs) for aluminum. The UK CBAM will cover both direct and indirect emissions. UK importers will have the option to report embedded emissions in their CBAM goods using either actual emissions data or default values when actual data is not available. The UK government will also publish a CBAM rate that reflects the carbon price faced by domestic producers under the UK ETS and Carbon Price Support, recognising exemptions or compensation schemes available to producers under UK ETS. If a carbon price is applied in the country of origin for imported CBAM goods, UK importers will only need to pay the difference between the UK CBAM carbon price and the carbon price in the place of origin. Small and medium-sized enterprises (SMEs), sees an increase to the minimum registration threshold for liable UK importers to £50,000 over a 12-month rolling period. US: The US is also considering a CBA (Carbon Border Adjustment) through several mechanisms, but these have yet to be finalised. for example; The America’s Clean Future Fund Act would establish a carbon fee based on the greenhouse gas content of fossil fuels. The Climate Pollution Standard and Community Investment Act would establish a cap-and-investment program to reduce greenhouse gas emissions. The Clean Competition Act would impose a “carbon intensity charge” on covered primary imported goods and imported finished goods that would mirror a domestic performance standard on primary goods. Please feel fre to share and comment: Chris McCann Dr Hushneara Begum Mat Langley Andy Hale Rachna Arora Larisa Maya-Drysdale Nikki Hunter FCILT, BA Jon Hughes Sean McKenzie Guy Strafford Demi Turner (née Smoloktou) Sarah R Robbins, MBA Aran Bates

🌍 Understanding the EU’s CBAM and Its Impact on Malaysia 🌱 The European Union’s Carbon Border Adjustment Mechanism (CBAM) is a landmark policy designed to tackle carbon emissions embedded in imported goods. By ensuring that imported products pay a carbon price equivalent to those produced within the EU, CBAM aims to prevent carbon leakage and support global climate action. 🔑 Key Points About CBAM: What is CBAM? It’s a tool to level the playing field between EU and non-EU producers by pricing carbon emissions in imported goods. Transition Phase (2023-2025): Importers must report embedded greenhouse gas emissions (direct and indirect) but don’t need to buy carbon certificates yet. Definitive Phase (2026 Onwards): From 2026, importers will need to purchase carbon certificates corresponding to the EU’s carbon pricing rules. Affected Sectors: Cement, iron and steel, aluminium, fertilisers, electricity, and hydrogen—sectors responsible for over 50% of EU ETS emissions. (Source: European Commission’s Taxation & Customs Union) 💡 How Does CBAM Affect Malaysia? As the Malaysia is EU’s 4th largest trading partner, CBAM has significant implications for Malaysian exporters, especially in carbon-intensive industries. Here’s what you need to know: 1️⃣ Increased Compliance Costs: Exporters to the EU will face higher costs due to rising carbon prices (currently €85-€100 per tonne of CO2). Companies must prove that a carbon price has already been paid during production, adding administrative complexity. 2️⃣ Impact on SMEs: Small and medium-sized enterprises (SMEs) reliant on EU exports may struggle with the added financial and administrative burdens, potentially affecting their competitiveness. 3️⃣ Push for Sustainability: CBAM accelerates Malaysia’s transition to a low-carbon economy, encouraging industries to adopt greener practices and technologies. This aligns with Malaysia’s commitment to achieving net-zero emissions by 2050. (Source: MIDF Report on Carbon Border Adjustment Mechanism) 🚀 Malaysia’s Response: To navigate this shifting landscape, Malaysia is taking proactive steps: 🍏 Developing the National Sustainability Reporting Framework to enhance transparency and accountability in carbon reporting. 🍏 Supporting industries in reducing carbon footprints and adopting renewable energy sources. 🍏 Collaborating with the EU to leverage technical assistance and funding for green initiatives. 🌱 The Bigger Picture: While CBAM presents challenges, it also offers an opportunity for Malaysia to strengthen its sustainability credentials and enhance global competitiveness. By embracing green technologies and sustainable practices, Malaysian businesses can not only comply with CBAM but also thrive in a decarbonising world. Let’s work together to turn this challenge into an opportunity for a greener, more sustainable future. 🌿 What are your thoughts on CBAM and its implications for Malaysia? Share your insights below! 👇

#Vietnam is embracing low-carbon economic development to stay competitive in key export markets like the #US and #EU. However, many Vietnamese enterprises are still unaware of the benefits of carbon credit trading. Despite the challenges, Vietnam's commitment to a green transition and international cooperation sets the stage for a promising carbon credit market. 🌿💼 𝐊𝐞𝐲 𝐢𝐧𝐢𝐭𝐢𝐚𝐭𝐢𝐯𝐞𝐬 𝐢𝐧 𝐕𝐢𝐞𝐭𝐧𝐚𝐦 𝐂𝐚𝐫𝐛𝐨𝐧 𝐌𝐚𝐫𝐤𝐞𝐭 𝐢𝐧𝐜𝐥𝐮𝐝𝐞: 🔹 𝐋𝐞𝐠𝐚𝐥 𝐅𝐫𝐚𝐦𝐞𝐰𝐨𝐫𝐤: Implementing the Law on Environmental Protection 2020 and Decree No. 06/2022/ND-CP. 🔹 𝐏𝐢𝐥𝐨𝐭 𝐏𝐫𝐨𝐠𝐫𝐚𝐦𝐬: Launching a pilot carbon credit market in 2025, with full operation expected by 2028. 🔹 𝐓𝐫𝐚𝐢𝐧𝐢𝐧𝐠: Educating officials and businesses on carbon pricing and market operations. https://lnkd.in/dmkYBSyH #Sustainability #CarbonMarket #GreenEconomy #ClimateAction #NetZero

Singapore’s EU ETS liabilities of €330m can accelerate green shipping initiatives, says OceanScore Singapore-registered vessels will be required to contribute a significant €330m share of Asian shipping’s total emissions liabilities under the EU ETS, underlining the importance of the Lion City as a key maritime hub for both global trade and decarbonisation, according to OceanScore.

Global Gateway is a European strategy to boost smart, clean and secure links in digital, energy and transport sectors and to strengthen health, education and research systems across the world. Finland and Finnvera are involved in implementing the strategy, and together with European export guarantee agencies Finnvera has signed a Joint Letter of Interest to support the financing of Global Gateway Projects. To succeed we need strong cooperation across Europe. EU ECAs have the potential to play an important part and stand ready to to do so. Read more in our News room: https://lnkd.in/d_hVNvsH #GlobalGateway #EUECASummit #ExportFinance #ECA #Europe #cooperation

In recent years, the European Union (EU) has adopted a series of environmental regulations, including those affecting countries outside the EU. Among them is the Carbon Border Adjustment Mechanism (CBAM), aimed at regulating carbon emissions in international trade. This mechanism prevents EU companies from relocating production to countries with weaker environmental and climate regulations due to stricter ecological rules. Exporters from Bosnia and Herzegovina, particularly from the six sectors currently covered by CBAM – aluminum, iron and steel, cement, fertilizers, hydrogen, and electricity – are already required to report CO2 emissions produced during the manufacturing of their products. Fines for not reporting emissions range from 10 to 50 euros per ton of CO2. Starting from January 1, 2026, the obligation to pay CBAM will come into force, leading to increased export costs for Bosnian exporters and the potential need to adjust prices to remain competitive in the EU market. The costs of CBAM for Bosnian companies in 2026 could amount to around 242 million BAM, assuming the current carbon price remains the same and exports stay at 2023 levels. These costs could rise to 294 million BAM by 2030 and even reach 436 million BAM by 2034. In the event of an increase in carbon prices, CBAM costs could reach 642 million BAM by 2034. This financial burden will be a significant challenge for Bosnian companies, as the sectors covered by CBAM exported goods worth 1.73 billion BAM to the EU in 2023, which constitutes 10% of Bosnia and Herzegovina's total exports to the EU. The total exports of Bosnia and Herzegovina in 2023 amounted to around 16.7 billion BAM, meaning that CBAM costs by 2026 could account for about 2% of total exports, or even 14% of CBAM product exports to the EU. By 2034, this percentage could rise to 4.5% of total exports, or more than 37% of CBAM product exports to the EU, highlighting the significance of this burden for Bosnian companies. Decarbonization, optimization of production processes, and investment in renewable energy sources will be key steps to reduce future costs and ensure the sustainability of operations in the European market. It also emphasizes the importance of establishing a domestic ETS (emissions trading system) in Bosnia and Herzegovina, as otherwise, Bosnian exporters will have to pay EU emissions costs directly, while countries with their own ETS system could reinvest the funds into the development of their industries and capacities to remain competitive. #CBAM #Sustainability #CarbonTax #ClimateChange #BosniaAndHerzegovina #EURegulations #Export #RenewableEnergy #Decarbonization #CarbonEmissions #GreenEconomy #InternationalTrade #ETS #EnvironmentalRegulations #SteelIndustry #AluminumIndustry #FertilizerIndustry #HydrogenIndustry #EnergySector #CementIndustry #BusinessStrategy #EUTrade #ClimateAction #SustainableBusiness #EmissionReduction #GreenTransition #CircularEconomy.

The #EU and #India are collaborating on the #Carbon Border Adjustment Mechanism (CBAM), a major #environmental #initiative aimed at reducing global #carbonfootprints. Key Facts: Fair Competition: CBAM ensures imported goods face the same #carbon costs as those produced in the EU, discouraging companies from relocating production to countries with weaker environmental #regulations. Global Impact: This initiative aims to curb #carbonleakage and push #industries worldwide to adopt greener practices. Support for MSMEs: Discussions focused on addressing potential #challenges for smaller Indian #businesses to ensure a smooth #transition and open #communication channels for ongoing #dialogue. Broader Cooperation: Beyond CBAM, the collaboration includes #carbontrading, pricing mechanisms for carbon #emissions, and the development of clean #technologies like #renewables and #energyefficiency. What do you think about this EU-India collaboration on CBAM? Can this #partnership set a new standard for global environmental initiatives? #sustainability #climateaction #cbam #partnership #greeneconomy #carbonfootprint