Emission reporting phase of EU’s carbon tax regime starts from October 1

Indian companies in sectors such as steel and cement that export to the European Union (EU) will have to report their carbon emissions to comply with the EU’s carbon tax regime. Compliance includes filing data from October and the imposition of the tax from 2026. The carbon border adjustment mechanism (CBAM) could result in a 20-35% tax on select imports into the EU. Indian firms must submit emission data to EU importers and face penalties for non-compliance.