There can be few regular readers of Torque who’ve avoided the topic of CBAM (Carbon Border Adjustment Mechanism), which is being introduced to imports of certain carbon intensive imported goods, including fasteners.
The nascent import mechanism is currently within its “definitive” phase, meaning that importers of fasteners and other relevant products are now liable to purchase and surrender CBAM certificates (when they become available in 2027).
European steel association EUROFER is now calling on CBAM to be extended to “downstream” sectors, including mobility, machinery, construction, hand tools and metal goods, adding that CBAM’s current scope is insufficient “to ensure a level playing field across the full value chain”, creating an imbalance as European manufacturers face higher costs of carbon-intensive finished products that fall outside the mechanism’s coverage.
Signatories of this call to action are of interest and include:
- Associación de fabricantes de elementos de fijación metalicos
- Bomet Europe
- EWRIS (European Steel Wire Industries e.V.)
- UPIVEB, Unione Produttori Italiani Viteria e Bulloneria (Italian Association of Fastener Manufacturers)
- Koelner Rawlplug IP Sp. z o.o
- And many more
EUROFER said: “The Commission proposal remains too narrow and entails a high risk of circumvention. Without an immediate broadening of the scope, CBAM risks shifting carbon leakage further downstream and creating distortions within the value chains. This weakens incentives for investment in low-carbon production and undermines the effectiveness of EU industrial and climate policies.
“Extending the CBAM to downstream steel and aluminium-intensive products with a simple and swift procedure is therefore crucial to provide a level playing field, support ongoing industrial transformation, and ensure consistency across the value chains.”
EU steel trade measure welcomed
Meanwhile, EUROFER has today (19 May 2026) welcomed the approval by the European Parliament of the new EU steel trade measure, calling it an important step towards addressing the growing pressures facing the sector from record imports, global overcapacity and rising international protectionism.
The European Parliament voted overwhelmingly in favour of the measure, with 606 MEPs voting for, 17 against and 39 abstentions.
Axel Eggert, Director General of the European Steel Association (EUROFER), said: “We welcome today’s strong backing by the European Parliament for the new EU steel trade measure. At a time of growing geopolitical uncertainty and market distortions, this sends an important signal that the EU is prepared to act to defend its industrial base, security and autonomy. There must now be no delay in ensuring the measure enters into force by 1 July 2026, when the current safeguard expires.”
The measure introduces a reinforced tariff-rate quota (TRQ) system, including stronger protections against import surges, enhanced monitoring and anti-circumvention tools, and a 50% tariff above quota levels. EUROFER stressed that the EU will continue to remain one of the world’s most open steel markets, with around 18 million tonnes of steel imports continuing to enter tariff-free each year.
The association also underlined that protecting European steel production and securing European steel demand must go hand in hand. EUROFER therefore called for the same strategic approach to be extended to downstream steel-containing goods in order to strengthen the wider European industrial value chain.
EUROFER added that further action remains necessary to support the sector, particularly through tackling high energy prices, delivering an effective Carbon Border Adjustment Mechanism (CBAM) and addressing global steel overcapacity.
