How Will CBAM Impact The UK Supply Chain

The EU’s Carbon Border Adjustment Mechanism (CBAM) isn’t just a policy for exporters — it’s a ripple effect that will touch nearly every part of the UK manufacturing supply chain.

Even if your company doesn’t sell directly into the EU, your customers might. That means your materials, production methods, and emission data could soon become essential to their CBAM reporting obligations. In short, if you’re part of the chain, you’re part of CBAM.

The biggest challenge? Data transparency. CBAM requires detailed information on direct and indirect emissions for products like steel, aluminium, and certain chemicals. Manufacturers who can’t provide accurate data risk losing EU business to competitors who can.

But there’s also an opportunity here. By taking early action, measuring your carbon footprint, improving reporting systems, and demonstrating low-carbon credentials, your business can strengthen relationships with EU clients and attract new partners seeking compliant suppliers.

At the Manufacturing Support Group (MSG), we’re helping manufacturers get ahead of the curve. Our upcoming CBAM tools and guides will make it easier to collect data, report accurately, and stay compliant without adding unnecessary admin.

CBAM isn’t a roadblock, it’s a roadmap to cleaner, smarter manufacturing. The companies that act now will lead the market when compliance becomes non-negotiable.

Next Step:
➡️ Read our next post to learn how to calculate your CBAM emissions and what data you’ll need to report.