There is no CBAM exemption for Indian steel exports to the EU under the FTA, negotiations will continue

According to the recently concluded India-EU Free Trade Agreement (FTA), no special exemption was granted to India from the EU Carbon Boundary Adjustment Mechanism (CBAM) for steel exports. However, Indian officials have said that negotiations will continue and that any flexibility granted by the EU to other countries in the future will automatically apply to India.

An Indian government official described the agreement as a "living document," noting that it is expected to enter into force next year after due diligence and ratification by lawmakers from EU member states. "We will continue to interact with the EU on several issues and adjust the provisions over time," he said.

India seeks access to EU duty-free steel quotas

It is clear that India is seeking access to EU duty-free steel quotas as a partner in the FTA even before the agreement officially enters into force. Discussions indicate that India could receive quantitative tariff relief based on a volume of about 1.6 million tons per year, although this would be about half of India's usual steel exports to Europe.

Technical support to help Indian firms comply with CBAM

A dedicated technical team will be set up to assist Indian companies in verifying and documenting their carbon footprint. In parallel, a separate cooperation structure is expected to provide EU technical and financial support to help Indian industry reduce emissions and