CBAM in 2026: What Importing Steel from Türkiye Really Costs EU Buyers

Published October 2026  ·  10 min read  ·  Buyer's Guide  ·  Trade & Regulation

Since 1 January 2026, every tonne of steel that enters the EU carries a carbon price. The EU's Carbon Border Adjustment Mechanism (CBAM) has moved from reporting to paying, and buyers are asking the same question: how much does it add to the cost of steel from Türkiye? The short answer is that it costs little in 2026, but it rises every year until 2034. How much you pay depends far more on the mill's production route and the quality of its emissions data than on the country of origin. This guide explains the rules, the timeline and the numbers, and gives you a checklist for your next purchase.

What Is CBAM and Why Does It Matter for Steel Buyers?

CBAM is the EU's carbon tariff on imports. EU steelmakers pay for their CO₂ under the EU Emissions Trading System (EU ETS). CBAM puts the same carbon price on imported goods, so that production does not simply move to countries with cheaper or no carbon pricing.

Iron and steel is one of the six covered sectors, alongside aluminium, cement, fertilisers, hydrogen and electricity. The EU–Türkiye customs union does not exempt Turkish goods. Only EEA countries and Switzerland are outside CBAM, because they are linked to the EU ETS.

Which Steel Products Are Covered?

CBAM applies by customs code. For iron and steel, the scope covers most of Chapter 72 and a defined list of Chapter 73 articles. Use the table below as a first check, then confirm the exact 8-digit CN code with your customs broker. Our HS codes guide for steel imports explains how classification works.

Downstream products are the next step. The Commission has proposed extending CBAM to about 180 processed products with high steel or aluminium content, including machinery and automotive parts, from 1 January 2028. The final list is still under negotiation. If you import machined parts or assemblies, expect them to come into scope.

The 2026–2027 Timeline: What Happens When

How the CBAM Cost Is Calculated

The number of certificates you must surrender is based on four inputs:

1. Embedded emissions of the product, in tonnes of CO₂ per tonne of steel. For iron and steel, only direct emissions count, including those from precursors such as pig iron or crude steel. Electricity-related (indirect) emissions are not included.
2. The free-allocation adjustment. EU producers still receive some free ETS allowances. CBAM is reduced by the same amount, based on EU benchmarks. That allocation is phased out between 2026 and 2034.
3. Carbon price paid in the country of origin, if any. It can be deducted when it is actually paid and properly documented.
4. The certificate price, linked to the EU ETS auction price.

The phase-in: share of emissions payable each year

The jump comes after 2029. A cost that is a rounding error on your 2026 invoices can become a major cost line in contracts that run into the 2030s.

Why the production route matters more than the country

Steel made from iron ore in a blast furnace (BF-BOF route) typically emits around 2 tonnes of CO₂ per tonne of crude steel. Steel melted from scrap in an electric arc furnace (EAF) has much lower direct emissions. The furnace step alone is often below 0.1 t CO₂ per tonne. About 70% of Turkish steel is produced in electric arc furnaces, which is one of the highest shares among major steel-exporting countries.

*Simplified illustration, not a quotation. It applies the payable share to total embedded emissions. The actual obligation is calculated against product-specific EU benchmarks, uses the certificate price of the relevant period, and depends on precursor emissions. Treat these figures as orders of magnitude, not as budget numbers.

Default Values vs Actual Emissions Data

If your supplier cannot provide verified emissions data, you must use the default values published by the Commission for each product and country. Defaults are set conservatively and carry a mark-up for iron and steel: 10% in 2026, 20% in 2027 and 30% from 2028. Where reliable country data is missing, the fallback is based on the highest-emitting exporters.

For a buyer, this is the real cost risk. An EAF-based product reported with actual, verified emissions can carry a fraction of the CBAM cost of the same product declared with default values. From 2026, emissions must be verified by an accredited verifier, and verifier capacity is expected to be tight. Suppliers who start the process early will be easier to buy from in 2027.

Does Türkiye's Own Carbon Market Reduce the Cost?

Türkiye has set up its own Emissions Trading System, covering the same sectors as CBAM: iron and steel, aluminium, cement, fertilisers and electricity. The pilot phase covers 2026–2027:

• 2026 is a monitoring, reporting and verification year only.
• 2027 brings the first compliance obligation, but allowances are allocated 100% free in the pilot.
• The first formal compliance period runs from 2028 to 2035, with free allocation phased down from 2028.

CBAM allows a deduction for a carbon price that has actually been paid in the country of origin. Because the Turkish pilot allocates allowances free of charge, buyers should not expect a meaningful deduction for 2026–2027 imports. The Turkish ETS still matters, for two reasons. Turkish mills are building monitoring and verification systems that also serve CBAM reporting. And a real carbon price after 2028 may reduce the CBAM bill on Turkish steel.

CBAM Is Not the Only Change: The New EU Steel Quotas

From 1 July 2026, the EU replaced its steel safeguard with a permanent import regime. Duty-free quotas are smaller, and the out-of-quota duty has doubled to 50%. Overall EU quotas were cut by about 47%, and Türkiye's accessible hot-rolled coil volume fell by roughly a third. For buyers, this means landed cost now depends on two things: the CBAM cost and whether your shipment falls within quota. Plan both together when you compare offers from Türkiye, China or other origins.

What CBAM Means for Turkish Steel vs Other Origins

CBAM Checklist for Your Next Purchase from Türkiye

• Confirm your status: will your total CBAM imports exceed 50 t this year? If yes, make sure you are an authorised CBAM declarant before customs clearance.
• Check the CN code of every product against the CBAM annex, including fasteners (7318) and fabricated parts (7308, 7326).
• Ask for the production route (EAF or BF-BOF) and the installation that produced the steel, not only the trader or fabricator.
• Request emissions data in the Commission's communication template, per installation and per product, with precursor data for fabricated goods.
• Ask about verification: has the installation appointed an accredited verifier for 2026 data?
• Put data delivery in the contract: deadlines, format and who pays if default values must be used.
• Price the CBAM cost into multi-year contracts using the phase-in table, not only the 2026 rate.
• Check quota availability for commodity products under the new EU steel regime.
• Keep records: CBAM declarations can be checked for several years after import.

How Steeling.net Helps

Steeling.net works with selected Turkish mills and manufacturers, and much of their supply is EAF-based. When you request a quote, we can tell you the production route and the producing installation, and ask the producer for the emissions data you need for your CBAM declaration. You can buy structural sections, rebar, hollow sections, coils and sheets, as well as fabricated parts such as laser-cut components, platforms and fasteners, from one point of contact. To see how the process works, read Source Metal from Türkiye and How to Source Steel from Turkey.

Frequently Asked Questions