The establishment of the Carbon Border Adjustment Mechanism (CBAM) was designed to meet the European Union’s (EU) climate goal of cutting greenhouse gas emissions by 55 percent by 2030 and be in accordance with the World Trade Organization (WTO) rules. For U.S. businesses exporting goods into the EU that are subject to the CBAM, requirements to meet the reporting obligations that will take effect starting October 1, 2023 are here and now.
Imports into the EU of iron and steel, aluminum, cement, fertilizers, hydrogen, and electricity will have reporting obligations on the embedded emissions under the CBAM, with more expected to be added. Industries impacted include automotive and aeronautics, heavy industry, pharmaceutical, and others. This new regulation is forcing global exporters to the EU to run a full health check on their supply chain to make sure they are compliance with the new CBAM requirements.
To help businesses navigate these new complex requirements, KPMG will provide an overview of the new regulation and share insights into how to manage compliance with the requirements using trade and customs data, and innovative approaches and tools.
KPMG LLP (US) is hosting this one-hour TradeWatch webcast which will feature professionals from our U.S. and EU Trade and Customs and U.S. Washington National Tax (WNT) practices, and will focus on the following areas:
- Introduction to the EU CBAM regulations
- Considerations for U.S. companies to prepare for CBAM
- Leveraging trade data to manage the requirements under CBAM
Beyond the forthcoming CBAM regulations, the breadth of emerging supply chain regulations makes it even more critical to have a solid grasp of the importance of supply chain traceability to meet the regulations in play.
Are you prepared?