EU carbon rules bring new challenges for Kazakhstan's metal exporters
Kazakhstan is working to help its steel and aluminum producers adapt to the European Union's new carbon regulations, which require accurate monitoring and verification of greenhouse gas emissions associated with exported products, Qazinform News Agency reports, citing the Ministry of Trade and Integration.
The challenges facing Kazakh exporters and possible support measures were discussed on November 13 at Kazakhstan's national pavilion during the COP31 climate conference in Antalya, Türkiye.
The session focused on the EU's Carbon Border Adjustment Mechanism (CBAM), which entered its definitive phase on January 1, 2026.
The new rules apply to imports of iron and steel, aluminum, cement, fertilizers, hydrogen, and electricity into the EU. Under the mechanism, European importers face financial obligations based on the carbon emissions generated during the production of these goods.
The cost of CBAM certificates is tied to carbon prices under the EU Emissions Trading System (ETS), which generally ranged from €73 to €85 per metric ton of CO₂ between 2023 and 2025.
Under the new rules, EU importers must submit their first annual CBAM declarations for goods imported in 2026 and surrender the required carbon certificates by September 30, 2027.
For Kazakh manufacturers, this means keeping accurate emissions records, ensuring independent verification, and investing in cleaner production technologies to reduce their products' carbon footprint.
The European Union remains a key market for Kazakhstan's metallurgical industry. In 2025, the country exported 110,184 metric tons of aluminum to the EU, valued at €274 million. According to the ministry, the EU's share of Kazakhstan's total aluminum exports reached approximately 54%, up from around 6% previously.
Exports of iron and steel to the EU amounted to 396,318 metric tons, worth €337 million, accounting for roughly 6% of Kazakhstan's total exports in these categories.
Combined, Kazakhstan's aluminum, iron, and steel exports to the European Union exceeded €611 million in 2025.
The introduction of CBAM could raise export-related costs and affect the competitiveness of Kazakh products in the European market, prompting manufacturers to invest in cleaner and more efficient production technologies.
Against this backdrop, representatives of Kazakhstan and the EU, international organizations, industry experts, and manufacturers gathered in Antalya to discuss how businesses can adapt to the new requirements.
The discussions focused on improving greenhouse gas emissions monitoring, reporting, and independent verification, alongside emissions trading and carbon allowance mechanisms.
Participants also proposed measures to help exporters meet the new standards, modernize production facilities, and strengthen international cooperation.
The session also explored ways to expand trade along the Trans-Caspian International Transport Route.
COP31 is being held from November 9 to 20 at the Antalya Expo Center in Türkiye.
Earlier, Qazinform reported that Kazakhstan signed $1.2 billion in agreements at COP31 in Antalya.