New EU Carbon Emissions Tariff Will Significantly Impact Businesses, Highlights Report from The Conference Board

(Adnkronos) – BRUSSELS, Sept. 28, 2023 /PRNewswire/ — European importers face rising prices and administrative bottlenecks as the EU's new carbon emissions tariff comes into effect, as detailed in a new report from The Conference Board. The report comes in the lead-up to the first enforcement phase (starting October 1) of the EU's Carbon Border Adjustment Mechanism (CBAM), a system that will levy imports of carbon-intensive goods, closing the price gap with EU-made products. 
Navigating Europe's Carbon Tariff: What is CBAM and What Does it Mean for Business? surveyed European Members of The Conference Board on how they expect CBAM to affect their companies. 83 percent of respondents–primarily senior procurement and sustainability executives–anticipate prices will rise, and 75 percent expect CBAM to influence their buying choices going forward. "Our Europe-based Members are clear that implementing CBAM will increase prices of carbon-intensive products, possibly with knock-on effects for consumers," saidSara Murray, Managing Director, International, The Conference Board. "Our latest insights will help our Members better understand their responsibilities and the challenges they must prepare for over the coming 18 months." Among the report's key insights: Prices for regulated products are expected to rise immediately from the start of implementation, years before the first tariffs are collected: Lack of verification capacity may create bottlenecks at key locations: Uneven customs capacity across the EU poses additional challenges for CBAM implementation—putting the onus on Brussels to take action: Current attempts to ease the administrative burden are likely to fall short: "Without fast action to address the administrative problems that importers will begin to face from next week, there is a risk that CBAM acts as a drag on the European economy," said Anuj Saush, European ESG Center Leader at The Conference Board. "The six categories of goods that are regulated under the legislation account for 4.95 percent of all EU imports, valued at €133.21 billion. Companies importing goods into countries like Belgium, Italy, and Ireland should take a careful look at how they will meet demand over the next few months." Effects will vary widely depending on the origin of imports: About The Conference Board The Conference Board is the member-driven think tank that delivers Trusted Insights for What's Ahead™. Founded in 1916, we are a non-partisan, not-for-profit entity holding 501 (c) (3) tax-exempt status in the United States. www.ConferenceBoard.org
 Logo – https://mma.prnewswire.com/media/624268/The_Conference_Board_Logo.jpg
 
View original content:https://www.prnewswire.co.uk/news-releases/new-eu-carbon-emissions-tariff-will-significantly-impact-businesses-highlights-report-from-the-conference-board-301940519.html
 

 —immediapress/pr-newswirewebinfo@adnkronos.com (Web Info)