The European Parliament's Committee on Environment, Climate and Food Safety (ENVI) has adopted its position on the proposed changes to the Carbon Boundary Adjustment Mechanism (CBAM), supporting the extension of the mechanism to processed products and approving the establishment of an Interim Decarbonization Fund (TDF) to support the low-carbon transition of European industry.
In line with the accepted position, MEPS supports the expansion of CBAM beyond basic materials to include a wide range of steel and aluminum products such as fasteners, wire, springs, and household items, while emphasizing that the expansion of the application area should be based on transparent and quantitative methodologies. The Committee also approved an exception for electricity imported from non-EU countries by grid operators in order to maintain the stability of the electric grid.
The Committee suggests tougher measures to combat circumvention
The Committee proposed strengthening anti-circumvention provisions, clarifying that the ban on "minor modification" of products should also cover minor processing, and pointing out that the rules should only target mechanisms designed solely to circumvent CBAM, rather than legitimate business decisions aimed at reducing costs. In addition, the committee proposed allowing the European Commission to apply default emission values in the true country of origin where circumvention patterns have been identified.
The members of the European Parliament also rejected
