Overview
The file concerns a legislative proposal to amend the Carbon Border Adjustment Mechanism (CBAM) Regulation (EU) 2023/956, under the ordinary legislative procedure (2025/0419(COD)). The proposal aims to extend the mechanism's scope to downstream products and introduce anti-circumvention measures. The overall status is ongoing, with the European Parliament awaiting a committee decision. This analysis is based on the Commission's legislative proposal and a Council document (WK 399 2026 INIT), which is a presentation by the European Commission to the Council's Ad Hoc Working Party on CBAM.
Legislative timeline
The procedural narrative indicates the file is under first-reading examination. The European Commission adopted its proposal on 16 December 2025. The European Parliament referred the file to its responsible committee on 12 February 2026. In the Council, technical discussions are already underway, with a first presentation of the proposal recorded on 13 February 2026. An upcoming event is scheduled in the Council for 1 December 2026, which is another presentation by the European Commission.
Institutional handling
The lead committee in the European Parliament is the Committee on Environment, Public Health and Food Safety (ENVI). In the European Commission, the responsible department is the Directorate-General for Climate Action (DG CLIMA), under the responsibility of Commissioner Wopke Hoekstra. The relevant Council configuration for negotiations is the Environment Council (ENV).
Stakeholder reactions
Stakeholder engagement on this file has been extensive, with 550 documented meetings involving 141 distinct organisations. Of these, 53 meetings were with Members of the European Parliament, 376 with Commissioners, and 121 with European Commission staff. The most active organisations in these engagements have been Norsk Hydro, Yara International, European Aluminium, the Business for CBAM Coalition, and CLEPA.
Positions on the specific topic of the 'Carbon Border Adjustment Mechanism (CBAM)' vary. Yara International explicitly supports CBAM and EU carbon pricing, arguing against its suspension and emphasizing the need for predictability. Air Liquide and APPLiA also express support for CBAM, though their positions subtly advocate for reducing the regulatory burden, with Air Liquide mentioning concerns about the level playing field and APPLiA emphasizing the need for simple and practical solutions. Stahlwille argues for extending CBAM to downstream products to prevent carbon leakage and de-industrialisation, indicating a supportive position for the proposal's direction. On the broader topic of regulatory simplification, organisations including Air Liquide, Satispay, and representatives from the coal sector have expressed supportive positions.
Media coverage
Media monitoring has identified 21 news articles from 11 countries, including Austria, Brussels, Estonia, Finland, Germany, and Greece. The coverage includes analysis arguing that Europe’s energy security remains dependent on external suppliers. Other articles report on the EU debate surrounding the Emissions Trading System (ETS), noting that the Council has opened a path to its revision, driven by Italy and supported by several other member states, while France and Germany push to preserve the system. This context is relevant as CBAM is linked to the EU ETS.