France and Italy seek to temporarily exclude fertilizers from the scope of CBAM. The Carbon Border Adjustment Mechanism within the EU came into effect on January 1, 2026, as reported by agronews.ua.
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It introduces a levy on CO2 emissions for importers of fertilizers, steel, aluminum, cement, and a range of other goods to ensure that foreign producers do not have an advantage over European ones, who are required to pay for their CO2 emissions under EU internal regulations.
According to Reuters, which has seen the relevant documents, the governments of France and Italy are seeking to protect European farmers facing difficulties by excluding fertilizers.
The draft statement prepared by France and sent to other EU governments for support calls on the European Commission to temporarily postpone or suspend the carbon levy on fertilizers.
“Such a postponement will reduce tension in the agriculture sector and give economic operators time to restore satisfactory fertilizer supply conditions in 2026,” the draft statement quoted by the agency said.
The French government noted its support for CBAM but warned that its application to fertilizers would increase costs for farmers already suffering from low grain prices and higher costs due to duties on Russian fertilizer imports.
Italian Minister of Agriculture Francesco Lollobrigida, addressing European Agriculture Commissioner Christophe Hansen, also urged the EU to cancel CBAM for fertilizers, “taking into account serious market circumstances and the expected impact on prices.”
The issue was discussed during a meeting of EU agriculture ministers held on Wednesday.