Question to the Department for Business and Trade:

To ask the Secretary of State for Business and Trade, what assessment his Department has made of the potential impact of the EU Carbon Border Adjustment Mechanism on the volume of diverted high-emission steel imports into the UK.

Charges under the EU Carbon Border Adjustment Mechanism (CBAM) for relevant goods entering the EU Single Market have applied since January 2026. This includes EU imports of steel goods within scope of EU CBAM.

We are monitoring the EU CBAM and continue to engage with businesses. The EU CBAM may influence trade flows by changing relative costs between markets, with impacts remaining uncertain and dependent on commercial and policy factors.

The UK Government will introduce its own CBAM from January 2027 to protect against carbon leakage.