The CBAM Certificate Index closed the second quarter at 75.28 euros per tonne of CO2 equivalent, according to Fastmarkets. This index tracks the cost of certificates that importers must buy under the EU's Carbon Border Adjustment Mechanism, which is designed to equalize carbon pricing between domestic EU producers and foreign suppliers. The price level gives a real time signal of compliance costs for industries like steel, aluminum, and cement that are covered by the new border carbon rules. For companies importing into the EU, this number directly affects their cost base. The CBAM regime is still in its transitional phase, but the certificate price is already being watched as a benchmark for how much carbon will cost at the EU border. A price near 75 euros per tonne suggests that the mechanism is pricing carbon at a level that could shift sourcing decisions and investment in low carbon production outside the EU. Anyone tracking carbon border policy or industrial decarbonization should keep an eye on this index as it matures.
