STATUSPolicy confirmed: start date, five sectors, £50,000 threshold, deadlines. Still landing: final CN list, default emissions values, the quarterly rate. As at 12 Jul 2026.
UK CBAM ReportUKHMRC · from 01 Jan 2027
Goods

Which goods are covered by the UK CBAM?

The UK CBAM covers goods from five sectors: iron and steel, aluminium, cement, fertiliser and hydrogen. Glass and ceramics were considered but are excluded at launch, and electricity is not in scope. Crucially, scope is set by specific commodity (CN) codes, not a blanket sector sweep, so whether a particular product is caught turns on its commodity code. The definitive CN list is set by secondary legislation and is still being finalised, so treat the families below as indicative.

The five sectors and their CN families

Each sector maps to one or more chapters or headings of the commodity (CN) nomenclature. The indicative families are:

SectorIndicative CN familiesNotes
Iron & steelChapter 72, chapter 73Iron and steel, and articles of iron or steel. Excludes scrap (7204) and certain finished consumer articles.
AluminiumChapter 76Aluminium and articles of aluminium. Excludes scrap (7602) and certain finished articles.
Cement2523Cement clinkers, Portland and other cements, plus related headings.
Fertiliser2808, 2814, 2834, 3102, 3105Nitric acid, ammonia, nitrates, and mineral or nitrogen fertilisers.
Hydrogen2804 10 00Hydrogen.

What is excluded, and why it matters

Two categories of exclusion are worth knowing about:

  • Glass and ceramics. These were proposed for CBAM but dropped for the January 2027 launch, on grounds of lower emissions intensity, lower leakage risk and accounting complexity. They may be added later, so if you import glass or ceramics, watch for future changes rather than assuming a permanent exemption.
  • Scrap. Aluminium scrap (heading 7602) and ferrous waste and scrap (heading 7204) are named exclusions and are out of scope from 1 January 2027. If your imports are genuinely scrap under those headings, they do not count towards CBAM, and importantly they do not count towards your £50,000 threshold either.

Electricity is not in scope of the UK CBAM at all, which is a difference from some other carbon border schemes.

Why the CN code, not the sector, decides. Because scope is drawn by commodity code, two products that feel like "steel" can be treated differently: a raw steel section in chapter 72 is squarely in scope, while a highly finished consumer article may be excluded. When you check your position, work from the commodity code on your customs declaration, not from a general sense of the material.

The list is not final yet

This is the part to keep an eye on. The exact commodity-code schedule of in-scope goods is set by secondary legislation, which was consulted on in draft during 2026 and is due to be laid in final form later in the year. Until it is enacted, the CN families above are indicative. If your product sits near a boundary, for example a finished article that might or might not be caught, confirm it against the final schedule before you conclude you are out of scope. Our CBAM Rulebook Status board tracks the final CN list as a live "in consultation" item and flips it to confirmed when the regulations are laid.

How to check your goods

The free scope check lets you pick your sector and goods family and screens your import value against the threshold. The paid report confirms your sector and goods family in or out of scope with the pending-final-list caveat dated, and flags scrap exclusions where they apply.

Frequently asked questions

Are glass and ceramics covered?

No. They were proposed but are excluded at launch in January 2027, and may be added later. Electricity is also not in scope.

Is scrap metal in scope?

No. Aluminium scrap (heading 7602) and ferrous waste and scrap (heading 7204) are named exclusions, out of scope from 1 January 2027, and they do not count towards your £50,000 threshold.

Is the commodity-code list final?

Not yet. The definitive CN list is set by secondary legislation still being finalised in 2026, so the CN families are indicative until the final schedule is enacted.

Sources

  • GOV.UK, Introduction of the Carbon Border Adjustment Mechanism, on the five sectors, the exclusion of glass, ceramics and electricity, and scope by commodity code. gov.uk
  • GOV.UK, CBAM Policy Summary, on commodity-code scope and the secondary legislation setting the definitive list. gov.uk

Content current as of 12 July 2026. The final CN schedule is set by secondary legislation being laid later in 2026; the CN families here are indicative and reconfirmed against the enacted schedule before we state them as final. Re-check the primary source before acting.

Not sure whether your product is caught?

Run the free scope check, or get a dated report confirming your goods in or out of scope, with scrap exclusions flagged.

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