CBAM, czyli tzw. Europejskie cło węglowe zatrzymało import nawozów do Unii Europejskiej — pokazują najnowsze dane z Brukseli. Rolnicy domagają się cofnięcia mechanizmu, bo obawiają się najgorszego, a Komisja Europejska rozważa jego złagodzenie w związku z umową z Mercosur. Taki obrót spraw może jednak pogrążyć Grupę Azoty — alarmuje spółka.
The European Union’s carbon border adjustment mechanism (CBAM) is significantly impacting fertilizer imports, sparking concerns among agricultural groups and prompting a review by the European Commission. The situation poses a potential risk to major European fertilizer producers like Grupa Azoty.
The carbon levy, designed to level the playing field for domestic producers facing stricter environmental standards, has effectively curtailed fertilizer inflows into Europe. According to data, imports have fallen sharply since the beginning of 2026.
According to data from the European Commission, cited by agricultural organization COPA COGECA, imports in January reached approximately 180,000 tons, a dramatic decrease compared to the 1.2 million tons recorded during the same period last year. This development is viewed positively by fertilizer manufacturers within the EU, who have long argued that suppliers from outside the bloc benefit from lower production costs.
However, the situation presents a challenge for European farmers, who are now calling for the mechanism to be reversed, fearing escalating fertilizer prices. COPA COGECA, a leading agricultural lobbying group, has warned of a “difficult reality” facing the EU.
Mercosur Agreement Complicates Matters
The European Commission is considering temporarily easing trade protections on fertilizers as it seeks to appease farmers and unlock the EU-Mercosur trade agreement. This potential move involves suspending the carbon tax (CBAM) for products entering the EU market, a scenario that has raised concerns at Grupa Azoty.
The Commission’s willingness to consider concessions reflects growing pressure from the agricultural sector, particularly in relation to the Mercosur agreement. A separate issue – involving tariffs on fertilizers from Russia and Belarus – was also a priority for the Polish government.
In May of last year, then-Minister of State Assets Jakub Jaworowski highlighted the introduction of the tariffs as a significant success. The move also aligned with the expectations of Grupa Azoty, which has faced recent financial difficulties.
European Commissioner for Trade Maroš Šefčovič recently indicated that tariffs on urea and ammonia would be suspended later this year. He also announced new guidelines regarding the suspension of CBAM for select goods – including fertilizers – in cases of justified market disruptions. Both decisions could negatively impact Grupa Azoty’s finances.
Azoty Expresses Concerns
In response to inquiries from Business Insider, the Polish state-owned company acknowledged that the decisions from Brussels would significantly hinder its recovery.
“The idea of suspending the CBAM mechanism for fertilizers is something that directly impacts us,” Piotr Mikusek, Director of Regulations at Grupa Azoty, stated in response to questions from Business Insider.
“Suspending CBAM without simultaneously suspending parallel mechanisms – including the phasing out of free allowances – would harm the fertilizer industry. This is a real threat to both Grupa Azoty, Anwil, and other EU producers,” he added.
The company anticipates increased pressure from Brussels, stating, “We are convinced that this pressure will grow, and we are working intensively to prevent the suspension of CBAM on fertilizers. We emphasize that the mechanism has only recently come into effect, and no one yet knows its ultimate shape in practice and what consequences it will have. CBAM requires reform, in particular, maintaining the allocation of free allowances for goods covered by CBAM, introducing a safeguard mechanism for goods covered by CBAM and exported to third countries, and implementing mechanisms to limit the visible loopholes in CBAM. However, this requires a systemic approach, not ad hoc solutions that only exacerbate the problems of the industry rather than addressing them. A decision to suspend CBAM would be an ill-considered action,” Mikusek concluded.
Brussels’ Contingency Plan
A suspension will not be immediate, requiring changes to existing regulations. Amended CBAM regulations would need to be adopted not only through the Commission’s operate but also by the European Parliament and the Council. Even after the regulations are changed, the Commission would need to implement a delegated act based on the introduced changes. This process could take several months, prompting the Commission to consider reducing tariffs on fertilizers as a faster alternative, a scenario also unfavorable for the Polish company.
Currently, a 6.5% tariff applies to fertilizer imports, along with a fixed amount (calculated in euros) for products from Russia, and Belarus. “Removing tariffs or suspending CBAM would further widen this gap. Only on this foundation can we build a competitive advantage, also in other areas: quality, service, and logistics,” a representative of Azoty explained.
CBAM’s Limited Impact on China?
Piotr Mikusek suggests that the anticipated effect of CBAM may ultimately be less significant than perceived. “CBAM is often presented in Poland as a shield primarily against ‘dirty’ production from China. However, the reality is more complex.”
“Contrary to appearances, the Chinese economy is no longer just ‘black’ energy and outdated industry. Many installations in China are largely decarbonized and have modern technologies. Products arriving here may have a significantly lower carbon footprint than commonly believed, so the effect of CBAM may be smaller than expected,” he assessed.
He added that the same applies to countries in North Africa, which also export fertilizers to Europe. “These are not primitive chemical installations. Local producers are investing in modern technologies, often based on more favorable energy mixes. Any form of protection – whether tariffs or CBAM – is significant to us. It consists of many building blocks: a little here, a little there, another element elsewhere – and this is how the cost gap is reduced,” he concluded.
Grzegorz Kowalczyk, Business Insider Polska
