EU CBAM Calculator: Carbon Border Adjustment Mechanism

CBAM cost of an import: formula and worked example

The tool multiplies embedded emissions (tonnes imported × carbon intensity) by the share subject to the mechanism, then by the gap between the EU carbon price and any carbon price already paid in the country of origin. With the default settings, 500 t of blast-furnace steel (2.1 t CO₂e per tonne) cost €13,650, and €68,250 once free allowances are gone. The mechanism has been in its definitive phase since 1 January 2026.

The tool's formula

Cost = tonnes imported × intensity (t CO₂e/t) × share covered (%) × (EU ETS price − carbon price paid at origin). The net price never goes below zero. The "100% projection" repeats the calculation with a 100% share, the situation planned for 2034. Default intensities: blast-furnace steel 2.1, electric-arc steel 0.45, unwrought aluminium 6.8, processed aluminium 3.2, clinker 0.85, ammonia 2.4, grey hydrogen 9.5, green hydrogen 0.1 (the tool's reference figures, to be replaced by the actual emissions declared by the producer).

Worked example

500 t of primary steel × 2.1 = 1,050 t CO₂e. Net price: 75 − 10 = €65/t. Default share 20%: 210 t × €65 = €13,650, i.e. €27.30 per tonne of steel. At 100%: €68,250, i.e. €136.50/t. With the official Q3 2026 price (€82.32), no carbon paid at origin and a 5% share, the cost drops to €4,322.

Limits

• The regulation does not cut emissions by a flat percentage: the obligation is reduced by an adjustment based on free-allocation benchmarks, which shrinks from 2026 to 2034. The tool's slider, set to 20% (minimum 5%), approximates that effect; the 2.5% often quoted for 2026 is an indicative value, not verified against the official text.
• The 50-tonne yearly exemption per importer is not applied; it does not cover hydrogen or electricity.

Timeline

Transitional phase (reporting only) from 2023 to 2025. Since 1 January 2026, authorised importers buy certificates from February 2027 and file their first annual declaration for 2026 by 30 September 2027. In 2026 the certificate price is the quarterly average of EU ETS auctions: €75.36 (Q1), €75.28 (Q2), €82.32 (Q3); it becomes weekly in 2027. This is an estimate and does not replace advice from a customs adviser.

Sources and dates: Regulation (EU) 2023/956 as amended by Regulation (EU) 2025/2083 of 8 October 2025; European Commission, price of CBAM certificates (Q3 published 05/10/2026), CBAM definitive regime and CBAM questions and answers (updated 27/05/2026) (checked 14/10/2026)

Frequently Asked Questions

What is the price of a CBAM certificate in 2026?

In 2026 it equals the quarterly average of EU ETS allowance auctions published by the Commission: €75.36 in Q1, €75.28 in Q2 and €82.32 in Q3. From 2027 the price will be published every week.

When must CBAM certificates be bought?

Certificates covering 2026 imports are sold from February 2027 on the central platform. The first annual declaration, and the surrender of certificates, are due by 30 September 2027.

Is there a threshold below which CBAM does not apply?

Yes: since the 2025 simplification, an importer bringing in less than 50 t of CBAM goods a year has no obligation. The threshold does not apply to hydrogen or electricity.

Can the carbon price paid in the country of origin be deducted?

Yes, if the importer proves that a carbon price was actually paid during production, the corresponding amount is deducted. The tool subtracts that price, in euros per tonne of CO₂, from the EU ETS price.

Is this tool really free?

Yes, all tools on Kristools are 100% free and accessible without registration.

Is my data protected?

Yes. All processing is performed directly and securely inside your browser. No personal data is sent to our servers.