In response to the European Commission's recent proposal to temporarily eliminate tariffs on fertilizers and to consider suspending the application of the CBAM (Carbon Border Adjustment Mechanism) for these agricultural inputs, the European Association of Fertilizer Manufacturers (Fertilizers Europe) has published a press release stating that it considers it unacceptable to establish any measure that reduces the competitiveness of an already weakened sector.

The European association points out that the fertilizer sector is among the most exposed to the risk of carbon leakage, and that the CBAM was created to complement the ETS (Emissions Trading System) and correct unfair competition from imports originating in regions without carbon pricing and with lower environmental standards. Furthermore, Fertilizers Europe:

- It argues that the carbon cost is transparent because the Commission has already published a methodology and default values, so it does not see justification for claiming that the cost is "serious and unforeseen" for the possible suspension of the application of CBAM to fertilizers.

- It warns that backtracking on the CBAM would jeopardize the European fertilizer industry base, increasing dependence on more carbon-intensive imports and creating even more uncertainty for producers, importers and farmers, while also hindering investments in decarbonization.

Fertilizers Europe calls on the Commission for a European fertilizer strategy that guarantees security of supply, a level playing field and economically and environmentally sustainable production in Europe.



Link to the Fertilizers Europe press release: https://www.fertilizerseurope.com/wp-content/uploads/2026/01/Fertilizers-Europe_Press-Release_CBAM_MFN_final_08012026-1.pdf