Refrain from practices whose purpose is to gain a benefit by unduly avoiding, wholly or partly, the CBAM financial liability.

All actors in the CBAM supply chain must comply, and it sits in an act that is partly law and partly a proposal.

Why it matters

The act this comes from is partly law in force and partly a proposal that can still change.

It is Art. 1(3), adding point (35) to Art. 3 of Regulation (EU) 2023/956, in the CBAM extension — downstream goods and anti-circumvention. as of 2026-08-14
The act gives its timing as: from entry into force (third day after publication), Art. 2. as of 2026-08-14
It names 5 industries by name: Steel, Aluminium, Cement, Chemicals and Power. as of 2026-08-14
Compliance is checked by competent authority, n/a. as of 2026-08-14

Addressee All actors in the CBAM supply chainAct COM(2025) 989 final, 2025/0419 (COD)Article Art. 1(3), adding point (35) to Art. 3 of Regulation (EU) 2023/956Class Businesses

The rule

New — no predecessor

Trigger

any practice pursued for the purpose of unduly avoiding CBAM financial liability

Obligation

Refrain from practices whose purpose is to gain a benefit by unduly avoiding, wholly or partly, the CBAM financial liability.

Who is affected

Addressee

All actors in the CBAM supply chain

Class

Businesses

Sectors

Names Steel, Aluminium and metals, Cement and concrete, Chemicals and refining, Power and heat

Applies

from entry into force (third day after publication), Art. 2

Burden drivers

D6 — 1 of 7 marks fire on this provision.

Source text

Verbatim

‘(35) ‘abusive practices’ are practices pursued by an actor for the purpose of gaining a benefit by unduly avoiding, wholly or partially, the CBAM financial liability and thereby undermining the effectiveness of the CBAM to address the risk of carbon leakage in the EU.

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