CBAM Sectors — The Complete Guide for African Exporters

CBAM currently covers six sectors: steel, aluminium, cement, fertilisers, hydrogen, and electricity. This guide explains what is covered in each sector, the CN codes that trigger CBAM, and what African exporters need to do.

Published April 2026·Last updated April 2026·carbonborderadjustment.co.za

The Six CBAM Sectors

CBAM Phase 1 applies to six sectors. Each has specific product definitions and CN codes.

Iron and Steel: Covers pig iron, DRI, ferro-alloys (ferrochrome, ferromanganese), flat-rolled steel, long products, tubes and pipes. SA is a major exporter of ferrochrome and manganese alloys.

Aluminium: Covers unwrought aluminium, alloys, and downstream products. SA (Hillside, Bayside smelters) and Mozambique (Mozal) are key African exporters.

Cement: Covers clinker and Portland cement. Limited Africa-EU trade currently.

Fertilisers: Covers ammonia, nitric acid, urea, UAN, and mixed nitrogen fertilisers. SA (Sasol) and Morocco (OCP) are key African exporters.

Hydrogen: Covers electrolytic hydrogen. SA's green hydrogen ambitions (Boegoebaai) make this sector strategically important.

Electricity: Applies to electricity imported via interconnectors. Primarily affects North Africa and Western Balkans.

For a complete CBAM compliance registration pathway, visit the Digital Product Passport Registry.

Frequently Asked Questions

Which sectors are covered by CBAM?

CBAM Phase 1 covers six sectors: (1) Iron and steel — including flat-rolled products, bars, rods, and tubes; (2) Aluminium — including unwrought aluminium and alloys; (3) Cement — including clinker; (4) Fertilisers — including ammonia, nitric acid, urea, and mixed fertilisers; (5) Hydrogen — including electrolytic hydrogen; and (6) Electricity — imported electricity from non-EU countries.

How do I know if my specific product is covered by CBAM?

CBAM coverage is determined by the Combined Nomenclature (CN) code of your product. The EU CBAM Regulation (EU) 2023/956 includes Annex I, which lists all covered CN codes by sector. Your EU buyer's customs agent will determine the CN code of your product when it is imported.

Are all steel products covered by CBAM?

No. CBAM covers specific steel products defined by CN codes in Annex I. Covered products include pig iron, DRI, ferro-alloys (ferrochrome, ferromanganese), flat-rolled steel, bars and rods, wire, tubes and pipes. Not all steel products are covered — most finished steel goods (machinery, vehicles) are not covered in Phase 1.

Which African countries export the most CBAM-covered goods to the EU?

South Africa is the largest African exporter of CBAM-covered goods to the EU, primarily ferrochrome, manganese alloys, steel, and aluminium. Mozambique exports aluminium from the Mozal smelter. Egypt exports steel and fertilisers. Morocco exports fertilisers. Zimbabwe exports ferrochrome.

Will CBAM expand to cover more sectors?

Yes. The European Commission is required to assess CBAM expansion by 2026. Sectors under consideration for Phase 2 include organic chemicals, polymers, other downstream steel and aluminium products, and potentially shipping.

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