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EU CBAM explained for Indian exporters: what it is and how to prepare

A plain guide to the EU Carbon Border Adjustment Mechanism as of October 2026: covered goods, the 2026 definitive period, the 50-tonne threshold, default and actual values, CBAM certificates, proposed changes, and a checklist for Indian MSME exporters.

Where to read the official text

  • Regulation (EU) 2023/956 (CBAM Regulation) and its consolidated version after Regulation (EU) 2025/2083, on EUR-Lex.
  • Implementing Regulations (EU) 2025/2547 (calculation methods), 2025/2621 (default values) and 2025/2548 (certificate prices).
  • European Commission, Taxation and Customs Union: CBAM pages, Questions and Answers, guidance for non-EU operators, and the price of CBAM certificates.
  • Ministry of Commerce and Industry for India-EU trade agreement updates.

Rules and dates in this article are as of October 2026 and may change.

Sources: European Commission, Carbon Border Adjustment Mechanism (CBAM) Questions and Answers, last updated 15 October 2026; European Commission, Carbon Border Adjustment Mechanism (main page); European Commission, CBAM definitive regime; European Commission, CBAM legislation and guidance; European Commission news: Officially published: Simplifications for CBAM (20 October 2025); European Commission news: CBAM successfully entered into force on 1 January 2026 (14 January 2026); European Commission, CBAM communication and news; European Commission, Price of CBAM certificates; European Parliament press release: CBAM: Parliament adopts simplifications (10 September 2025); Regulation (EU) 2023/956 establishing a carbon border adjustment mechanism (EUR-Lex); Regulation (EU) 2025/2083 amending Regulation (EU) 2023/956 (EUR-Lex); European Parliamentary Research Service: Extension of CBAM scope to downstream goods and anti-circumvention measures (7 September 2026); Ministry of Commerce and Industry, India's Free Trade Agreements (2025-26): Key Highlights

This article was prepared with AI assistance and checked by the GreenEye team against the sources shown in each section.

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