India, Oct. 12 -- When European buyers stop ordering steel, the consequences for an Indian manufacturer can begin well before a carbon bill arrives. For Chandan Steel Limited, a stainless steel manufacturer based in Gujarat, some smaller European customers have already disappeared as the European Union's (EU) Carbon Border Adjustment Mechanism (CBAM) adds a new layer of costs, emissions data and paperwork to cross-border trade.

"Some smaller European buyers that previously purchased one or two containers, typically 20 to 25 tonnes, have disappeared. Even the number of inquiries has gone down because of the additional cost burden and additional paperwork the European Union's Carbon Border Adjustment Mechanism (CBAM) demands," Chaitanya Ch...