ALFED Calls for Urgent Clarity on UK CBAM Ahead of 2027 Introduction

ALFED has issued a briefing to the UK Government setting out key concerns from the UK aluminium industry around the implementation of CBAM.

The Aluminium Federation (ALFED) has called on the UK Government to provide greater clarity on the implementation of the UK Carbon Border Adjustment Mechanism (CBAM), which is scheduled to come into effect in January 2027.

In a briefing shared with officials across HM Treasury, HMRC and relevant Government departments, ALFED outlined key concerns raised by the UK aluminium industry as businesses prepare for the new carbon pricing mechanism.

While supporting the principle of CBAM as a tool to prevent carbon leakage and create a more level playing field for domestic manufacturers, the federation warned that several important aspects of the scheme remain unresolved.

Among the areas requiring clarification are default emissions values, verification and accreditation arrangements, recognition of carbon costs paid overseas, sector-specific technical guidance and the relationship between the UK CBAM and wider UK-EU Emissions Trading System discussions.

ALFED said the briefing was informed by its Trade Committee and the experiences of companies already dealing with the EU CBAM regime.

CEO Nadine Bloxsome stressed that businesses need certainty, practical guidance and sufficient preparation time. ALFED is now calling for a clear implementation roadmap and continued technical engagement between Government and industries affected by the new requirements.

Source: ALFED with additional information added by Glass Balkan

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