KPMG Trade Data Check CBAM

The Carbon Border Adjustment Mechanism (CBAM) is being introduced gradually, starting with a reporting obligation in October 2023. Since then, importers of energy-intensive goods – initially including cement, electricity, fertilizers, aluminum, iron, steel, hydrogen as well as some upstream and downstream products – have had to disclose the quantities imported from other EU countries, the direct and indirect carbon emissions contained therein and any carbon levies already paid in the country of production on a quarterly basis. 

The data collection required for this presents challenges for many companies. For instance, there is often no overview of which products were imported from where. This information is, however, necessary to be able to measure the emissions along the supply chain. According to the legislator, the values to be reported should also be based on actual values, meaning that the cooperation of suppliers is imperative. While there are official default values that companies can use for the transitional period to fill gaps caused by a lack of cooperation of suppliers, these values may only be used without restriction until July 2024. In the case of inadequate reporting or failure to comply with the deadline, fines may be imposed.

We have expanded our tried and tested KPMG Trade Data Check to include the CBAM requirements. In this way, we are able to support you comprehensively and with the use of our technology during this administrative process – starting with the impact analysis based on your import reporting data, to obtaining and validating supplier data, all the way through to generating the CBAM report at quarter-end. 

Take a look and get to know our tool in our demo video.