Platts proposes to include CBAM costs in European Duty-Paid aluminum assessments

Platts, part of S&P Global Energy, proposes that European duty-paid P1020A aluminum premiums and delivered duty-paid (DDP) billet assessments will include the costs associated with the EU's Carbon Border Adjustment Mechanism (CBAM) from April 1, 2026.

The proposal to include CBAM costs in the Platts duty paid P1020 A and billet assessments follows recent market feedback that CBAM costs are increasingly being embedded in spot premiums for aluminum transacted on a duty-paid in-warehouse Rotterdam and/or DDP basis.

The European P1020 Duty Unpaid premium assessment (AALVI00) will continue to exclude CBAM costs by nature of the incoterm .

The assessments that would be impacted by this proposal include:

Under this proposal, the inclusion of CBAM costs would be passed through to other Platts assessments that are based on the above assessments. This includes low-carbon aluminum and billet, zero-carbon aluminum, currency conversions and related weekly, monthly, quarterly and yearly averages.

Platts has previously launched calculated CBAM values for Duty Paid European aluminum as an additional market reference. More details on this can be found here.

Platts invites feedback, comments, and questions on this proposal to EMEAMetalsTeam@spglobal.com and pricegroup@spglobal.com by March 24.

For written comments, please provide a clear indication if the comments are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make comments not marked as confidential available upon request.