South Africa is strenuously opposing the European Union’s Carbon Border Adjustment Mechanism that, under its evolving design and coverage, could have a significant impact on the country’s trade with the EU bloc, which currently represents 19% of exports. 

This impact will be amplified should other countries impose similar measures to address carbon leakage, with the US, the UK, Japan and Canada all currently considering such.

What this relatively benign outlook for the scheme’s prevailing architecture masks, however, is the disproportionate impact the CBAM will have on specific domestic exporters, notably in the iron and steel sector.

As global markets prioritize sustainability decarbonization has increasingly become an important aspect for long-term viability and will shape trade relations and potential markets. ESG practices not only enhance environmental stewardship but also drive social responsibility and governance excellence, which are also critical considerations not only for the domestic social license to operate but internationally as well.  

The sector must stay informed and be more proactive in adopting these frameworks to ensure competitiveness, meet international standards and reduce carbon emissions.

This Conference will provide the industry with a platform to deepen understanding, foster collaboration and equip industry leaders with the knowledge to navigate the evolving landscape of sustainability and create the conditions for lasting industrial competitiveness.