India’s Vedanta Aluminium has its plan ready to face the EU’s CBAM challenge

This tariff currently applies to six product categories – aluminium, iron and steel, hydrogen, electricity, cement, and fertiliser, irrespective of the product’s origin.

The CBAM is set to come into effect in January 2026. In preparation, the European Union has already begun requesting reports on the carbon emissions of goods exported to the EU.

India’s leading stainless steel producer, Jindal Stainless Limited, is taking proactive steps to reduce carbon emissions and maintain its competitiveness in the European Union export market. Similarly, Vedanta Aluminium is also making significant efforts to comply with the CBAM requirements and reduce its carbon footprint.

Abhyuday Jindal, MD, Jindal Stainless told Business Today, “We have been vigilant of our carbon footprint well before CBAM came into the picture. We started switching from thermal to renewable sources of energy--wind, solar, and hydro long ago. Recognising the challenges associated with decarbonising the stainless steel industry, we launched India’s first Green Hydrogen Plant in the stainless steel sector, which will reduce 2700 tCO2e of carbon emissions annually. Additionally, we are transitioning to electric vehicle fleets, upgrading to energy-efficient equipment, and incorporating the use of biofuels as part of our decarbonisation efforts.”