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Tag: CBAM

Predicting the unpredictable

The start of the new year has shown that 2026 is already proving to be a very eventful one, beginning with the US abduction of Venezuela’s president Nicolas Maduro, which has prompted questions over production at the country’s ailing nitrogen assets, as well as the potential for a future boost to gas supplies to Trinidad. Meanwhile the Iranian government faces its most sustained public challenge since the 1979 revolution, and possible US military intervention, threatening continued exports from the country. In Europe, the future of fertilizers’ inclusion in the Carbon Border Adjustment Mechanism (CBAM) has been thrown into doubt barely a week after the new regulations came into force, as France and Italy pushed for an exemption for crop nutrient imports.

CIMC Enric commissions biomethanol project

CIMC Enric Holdings Ltd says that it has commissioned China’s first large-scale biomethanol facility in Zhanjiang, Guangdong Province, marking a major step forward in the decarbonisation of global shipping and clean fuel supply chains. The project, developed by CIMC Enric and its subsidiaries, is designed as a fully integrated closed-loop system converting forestry residues into green methanol for use as marine fuel. With an initial annual capacity of 50,000 t/a, it is the country’s first commercial scale green methanol plant, and is backed by the port of Zhanjiang and abundant local forestry wastes.

EU tackles rising fertilizer costs under CBAM through targeted tariff relief

Recent developments show the Carbon Border Adjustment Mechanism (CBAM) remains active for fertilizers, but the European Commission proposes tariff reductions to offset import costs. Tariff suspension details The Commission will temporarily suspend remaining Most-Favoured-Nation (MFN) tariffs on ammonia, urea, and certain other fertilizers. Import tariffs from most-favoured nations stand at 6.5%, excluding higher staged tariffs […]

Is the world ready for CBAM?

At the end of this year, the European Union’s Carbon Border Adjustment Mechanism (CBAM) will move from its transitional phase into its ‘definitive’ phase, whereby the carbon costs of goods entering the EU will need to be priced in. CBAM requires suppliers to calculate the carbon emissions of their fertilizer (and other, e.g. steel) products, including indirect emissions, for example from electricity consumed in the process, and emissions of precursor or raw materials. They will then need to purchase CBAM certificates to cover embedded emissions above the established free allowance benchmark rates determined by the European Commission: 1.57 tonnes CO2e/tonne ammonia and 0.23 tCO2e/t nitric acid.