European Parliament votes in support of changes to EU CBAM
The European Parliament endorsed the Commission’s proposal to simplify the EU carbon border adjustment mechanism on 22 May 2025. MEPs backed a new de minimis mass threshold of 50 tonnes, which would exempt 90% of importers, most of whom are small and medium-sized enterprises and individuals, from the mechanism’s stringent rules. The amendments also clarify and simplify the authorisation process for declarants, the method for calculating emissions, and the management of financial liability, whilst fortifying anti-abuse measures. These modifications ensure that 99% of CO₂ emissions from imports of iron, steel, aluminium, cement, and fertilisers remain covered, thereby preserving the environmental objectives. Rapporteur Antonio Decaro emphasised the importance of the CBAM in preventing carbon leakage and promoting global climate action, a view reflected in the parliamentary vote of 564 in favour, 20 against, and 12 abstentions. The Parliament is now prepared to commence negotiations with the Council to finalise the legislative framework.