UK aluminium industry seeks clarity on CBAM
The UK aluminium sector is pressing policymakers for urgent clarification on the upcoming carbon border adjustment mechanism as the deadline approaches.
Alfed calls for detailed guidance before the scheme launches
Alfed, the industry’s federation, has submitted a briefing paper to government departments outlining several unresolved practical issues. The paper backs the carbon border adjustment mechanism, which mirrors the EU model and is slated to start in January, but it stresses that businesses need clear rules and sufficient preparation time.
According to the federation, companies that sort, shred or otherwise ready scrap for export must now calculate and report the emissions tied to those activities. The requirement adds a layer of paperwork that many firms say they are not yet equipped to handle.
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“Our members understand the rationale behind the mechanism and the importance of addressing carbon leakage, but businesses need certainty if they are going to prepare properly,” said Nadine Bloxsome, Alfed chief executive. “Experience from the EU has shown just how challenging implementation can become when methodologies, systems and guidance are finalised too close to the point at which businesses are expected to comply.”
The federation highlights four specific areas where guidance is lacking: verification and accreditation arrangements, recognition of carbon costs paid overseas, sector‑specific technical guidance, and the impact on the European Trading System.
How the rules could affect scrap metal recyclers
For facilities handling ferrous metals, the carbon footprint varies widely. A plant that runs heavy shredding equipment powered by grid electricity will register a higher carbon intensity than a modest sorting yard. Non‑ferrous metals, especially aluminium and copper, attract extra scrutiny because primary production consumes large amounts of energy.
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The federation notes that the new transparency standards aim to prevent carbon “leakage” by ensuring imported material meets the same emissions criteria as domestic output. Companies that fail to align with these standards could face trade barriers when dealing with EU partners.
Alfed’s message to the government is straightforward: provide clarity, issue practical guidance, and allow enough lead time for compliance. The federation says it is ready to work constructively with officials, but it stresses that engagement must happen now.
In the meantime, firms are advised to review existing recycling standards and begin aligning their reporting practices with the expectations set out for EU trade.
