QazTrade and the International Trade Centre held a webinar on the EU Carbon Border Adjustment Mechanism (CBAM) for industrial exporters

QazTrade and the International Trade Centre held a webinar on the EU Carbon Border Adjustment Mechanism (CBAM) for industrial exporters

QazTrade JSC, together with the Ministry of Trade and Integration of Kazakhstan and the International Trade Centre, held a webinar on the topic "EU Carbon Border Adjustment Mechanism (CBAM) Webinar: Compliance and Trade Implications for Aluminum and Priority Sectors in Kazakhstan’’. The event was organized within the framework of the EU-funded Ready4Trade Central Asia project.

According to the European Commission (2024), imports from Kazakhstan into the EU are concentrated in six categories of goods that may be particularly sensitive to CBAM.

  • Fuels and mineral products. In 2024, imports to the EU amounted to 31.8 billion euros, accounting for more than 95% of total supplies. Growth compared to the previous year reached 11.6%. Kazakhstan remains an important supplier of energy resources, and this category is the most exposed to the EU’s climate policy.
  • Non-ferrous metals, including aluminum. In 2024, supplies amounted to 410 million euros, or 1.2% of imports, but volumes fell sharply by almost 40%. Aluminum is one of the most vulnerable positions and is already sensitive to CBAM requirements.
  • Iron and steel. Exports to the EU in 2024 totaled 204 million euros, or 0.6% of imports, down by 27.1%. This sector falls directly under CBAM regulation and will be among the first to feel the impact of the new rules.
  • Chemical products. Imports to the EU reached 667 million euros, or 2% of the total, showing growth of 26.5%. The sector demonstrates positive dynamics but may also fall under regulation.
  • Other semi-manufactures. In 2024, supplies reached 95 million euros, or 0.3% of imports, with a 38.5% decline in volume. This underlines the sensitivity of this segment to changing trade rules.
  • Machinery and transport equipment. Imports of this category amounted to 60 million euros, or 0.2% of imports, with a decline of 11.5%. Despite its small share, the sector may also be indirectly affected by CBAM, given its carbon intensity.

Opening the webinar, Nurlan Kulbatyrov, Deputy Director General of QazTrade, emphasized that adaptation to CBAM requirements is an urgent task. He noted that the new rules could serve as a stimulus for modernizing production and strengthening Kazakhstan’s position as a reliable supplier to the European market.

The European Union remains Kazakhstan’s largest trading partner, accounting for 37% of the country’s total exports in 2024. The sectors most sensitive to CBAM requirements are aluminum, fertilizers, and iron. In 2024, aluminum exports amounted to 662 million USD, of which more than 225 million USD went to EU markets. These figures confirm that the EU is a strategic destination for Kazakhstan’s exports.

In addition, 17% of fertilizers, worth about 40 million USD, were exported to the EU, highlighting once again the importance of this market. As for iron, only 6.2% of total exports were shipped to the EU.

In turn, Fabiana Fong (ITC) presented an overview of EU trade and climate policy, explaining how CBAM is embedded in the regulatory system.

The special value of the webinar lay in its practical focus. Participants received concrete guidance on what steps exporters need to take to operate under the new mechanism. This made the event particularly valuable for industrial enterprises that will soon face CBAM in practice.

In particular, Wojciech Zalewski, Senior Manager at EY Consulting, provided a practical guide to CBAM compliance in the aluminum and steel industries, covering emissions accounting and reporting, data verification, and interaction between exporters and EU importers.

Discussions during the sessions sparked lively interest. Company representatives asked questions on practical aspects of emissions monitoring, registration in the CBAM Registry, reporting procedures and the purchase of carbon certificates. This confirmed the high relevance of the topic and the need for further work to prepare businesses for new trading conditions.

In addition, Professor Joost Pauwelyn of the Geneva Graduate Institute emphasized that CBAM could become a catalyst for the development of Kazakhstan’s own green standards. Marios Tokas, senior researcher at the University of Copenhagen, highlighted the interconnection of CBAM with other EU environmental initiatives and stressed the importance of regulatory convergence.

The webinar saw active participation from leading industrial companies, including Qarmet JSC and Eurasian Resources Group (ERG). From the government side, key institutions shaping climate and industrial policy were represented: the Ministry of Ecology and Natural Resources, the Ministry of Industry and Construction, and the State Revenue Committee of the Ministry of Finance.

It should be recalled that earlier, QazTrade together with the OECD prepared a Guide on Best Practices and International Experience for Industrial Exporters in Hard to Abate Sectors in Kazakhstan, which contains recommendations for the government and business on adapting to CBAM, introducing low-carbon technologies, and reducing production energy intensity. The document provides examples of international best practice and can serve as a reference for enterprises during the transition period.