Morocco Faces Limited Short-Term Impact from EU Carbon Border Adjustment Mechanism

Morocco is expected to experience only limited short-term effects from the European Union’s Carbon Border Adjustment Mechanism (CBAM), set to take effect on January 1, 2026, according to the Economic, Social and Environmental Council (CESE).

The CBAM, often referred to as the EU carbon border tax, is designed to ensure imported goods are subject to the same carbon costs as products manufactured within the bloc. The measure aims to reduce carbon leakage by encouraging cleaner production processes both inside and outside Europe.

Morocco’s Export Exposure

Speaking at a press conference in Rabat, CESE President Abdelkader Amara highlighted that only 3.7% of Moroccan exports to the EU are currently exposed to the mechanism. Fertilizers account for the largest share, representing 2.9% of total exports.

Amara underlined that “in the short term, the impact of CBAM remains relatively limited.” However, he cautioned that if the EU widens the scope of the tax to include more industries, it could affect Morocco’s competitiveness in sectors such as automotive, agriculture, aerospace, and tourism, which are closely linked to European value chains.

CESE Recommendations

To prepare for possible long-term challenges, CESE recommended that Morocco adopt several measures:

  • National coordination: Establish a dedicated coordination body to oversee CBAM-related matters and streamline institutional responses.

  • Support for SMEs: Create a financing fund to help small and medium-sized exporters modernize operations, reduce emissions, and adapt to low-carbon requirements.

  • Carbon accounting: Develop academic and vocational training programs to build national expertise in carbon accounting, reporting, and certification.

  • Access to renewables: Improve availability of affordable renewable energy — particularly medium-voltage electricity — to help industries reduce their carbon footprint and maintain access to EU markets.

Turning Challenge into Opportunity

CESE stressed that Morocco has an opportunity to use CBAM as a catalyst for its green transition. By accelerating decarbonization and investing in renewable energy, the country could not only mitigate risks to its export sectors but also strengthen its positioning in the global low-carbon economy.

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Robert N.