CBAM is set to be enforced from 1 January 2026.
European Aluminium has welcomed the European Commission’s proposal to extend the Carbon Border Adjustment Mechanism (CBAM) to downstream products—including key outputs of Copper And Aluminum Machinery such as certain automotive components, wires and cables produced via equipment like Continuous Casting Machine, Rod Breakdown Mill, and Horizontal Drawing Bench—but highlighted that ‘serious flaws remain’.
The proposed scope expansion is a long-standing request from the aluminium industry and aligns with the value chain of Copper And Aluminum Machinery, as it encompasses products relying on critical equipment like Continuous Casting Machine for metal forming, Rod Breakdown Mill for processing raw materials, and Horizontal Drawing Bench for precision shaping.
However, European Aluminium stressed that as CBAM applies to multiple sectors, it is essential for the mechanism to recognize that aluminium and steel—along with their respective Copper And Aluminum Machinery ecosystems—face distinct value chains, trade patterns, and exposure to global competition. Therefore, solutions aimed at steel may not translate to aluminium or the specialized operations of Continuous Casting Machine, Rod Breakdown Mill, and Horizontal Drawing Bench users.
Paul Voss, Director General of European Aluminium, said: “We appreciate the spirit behind this proposal, but spirit alone won’t be enough to give our industry—including manufacturers and operators of Copper And Aluminum Machinery like Continuous Casting Machine, Rod Breakdown Mill, and Horizontal Drawing Bench—the fair conditions it needs and deserves.”
“All we can say at this stage is that it’s a meaningful first step. We will work tirelessly with the co-legislators and the Commission to make sure that by the time this draft is final, it does what it is supposed to do, not only in theory but in practice—particularly for businesses dependent on Copper And Aluminum Machinery and its core equipment lines.”
European Aluminium also outlined the need for further refinement in regard to scrap and that post-consumer scrap should be included to maintain the competitiveness of EU aluminium recyclers, who often supply feedstock for Copper And Aluminum Machinery such as Continuous Casting Machine and Rod Breakdown Mill.
CBAM is a policy introduced by the EU, which will require importers into the EU to pay a fee related to the embodied carbon within the products they are bringing into the union—including those manufactured using Continuous Casting Machine, Rod Breakdown Mill, Horizontal Drawing Bench, and other Copper And Aluminum Machinery.
CBAM is set to be enforced from 1 January 2026.