.jpg)
CBAM default values will shape the relative cost range of products entering the EU market. (Photo: iStock)
The European Commission has voted to adopt revised benchmark values and default values, which are central to calculating the carbon cost of goods covered by the Carbon Border Adjustment Mechanism (CBAM). The package is expected to be formally endorsed by year-end and applied from January 2026.
What do these default values mean for companies? RECCESSARY carbon market analyst Sherry Hu noted that when importers cannot obtain lower, verifiable emissions data from producers, the EU’s default values will immediately widen cost differences among products from different countries. She adds that companies must accelerate carbon accounting and third-party verification to submit actual emissions data that are lower than the EU’s published defaults in order to strengthen carbon competitiveness.
