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New EU CBAM scandal: CO2 data farce threatens EU industry!

It seems like there are concerns and criticisms regarding the European Commission’s approach to the Carbon Border Adjustment Mechanism (CBAM) for stainless steel. The criticisms raised in your text suggest a lack of accuracy, transparency, and relevance in the data used for the CBAM calculations. Let’s break down the key points:

The selection of countries like Russia, Belarus, Serbia, Norway, and Ukraine for CO2 calculations is criticised as these countries allegedly don’t significantly produce or export stainless steel to the EU. This choice raises questions about the accuracy and relevance of the data used in the CBAM system.

The text implies that European stainless steel is not significantly different from Chinese stainless steel in terms of CO2 emissions. This challenges the perception that Chinese stainless steel is more CO2-intensive and dirty. The suggestion here is that including CO2 data from other countries, like Indonesian stainless steel, could have altered the narrative.

The criticism involves taking all stainless steel grades from an expensive, non-public database, combining them, and calculating an average value. This approach is deemed problematic as it does not account for the diverse global quantities and compositions of stainless steel, treating all grades the same.

There appears to be an outdated view of stainless steel production, specifically referencing the belief in carbon crude steel production in Electric Arc Furnaces (EAF) and subsequent re-seasoning with ferroalloys.

The overall conclusion is that the CBAM default values for stainless steel are considered unreliable and even characterized as a “bad joke.” The CBAM system, in its current state, is flawed and could lead to undeserved penalties on the industry.

Read the full story – Stainless Espresso by Gerber Group