Starting January 1, companies importing goods into the European Union will be required to pay a carbon tax of up to €70 per ton of product and submit annual reports on carbon emissions from their suppliers’ production. According to the Serbian Chamber of Commerce, around 500 Serbian companies, mainly from the manufacturing sector, will be affected by this regulation.
This measure is part of the EU’s Carbon Border Adjustment Mechanism (CBAM), designed to tax carbon emissions on imported goods similarly to products produced within the EU. The goal is to prevent carbon leakage by ensuring that imported goods face the same carbon costs as those made in the EU.
Serbian companies exporting to the EU will need to prepare annual carbon emissions reports. The regulation took effect in October 2023 and currently covers about 20% of Serbian exporters identified as producing CBAM-listed goods, mainly in iron, steel, aluminum, fertilizers, cement, electricity, and hydrogen sectors.
While EU companies are responsible for paying the tax, Serbian companies as suppliers must provide emission data. The funds collected will be directed into a European green fund, benefiting European companies. Serbian firms do not pay the tax directly, but some foreign partners may pass on parts of these costs.
CBAM includes a transitional period from October 2023 to December 2025, during which importers only need to report emissions without paying the tax or undergoing verification. Full implementation, including payments and verification, starts January 1, 2026.
This initiative aligns with global climate goals under the 2015 Paris Agreement, aiming to limit global temperature rise to 1.5–2 degrees Celsius and achieve climate neutrality in Europe by 2050.
