EU may suspend carbon border tax on fertilizers, says French minister

By Aysu Bicer

LONDON (AA) - The EU may suspend the application of its new carbon border tax on fertilisers, following pressure from several member states, according to France’s agriculture minister on Wednesday.

The EU’s Carbon Border Adjustment Mechanism (CBAM), designed to impose a carbon levy on imported goods equivalent to that faced by European producers, came into effect on Jan.1, 2026.

However, French Agriculture Minister Annie Genevard said the European Commission has signalled a willingness to suspend the measure for fertilisers, potentially with retroactive effect.

Fertiliser imports have been a particular concern for French grain farmers, who argue that applying the CBAM would increase already high production costs.

Genevard travelled to Brussels on Wednesday for talks with her European counterparts, where she said she raised the issue directly with EU officials.

“Faced with the urgency of the situation, I was very firm today in Brussels: its application to fertilizers must be suspended,” she wrote on the US social media company X.

She added: “Commissioner Sefcovic's response was clear: the carbon tax on fertilizers can be suspended with retroactive effect to Jan. 1, 2026.”

"This is excellent news and a relief for our farmers. There is therefore no justification for fertilizer importers to increase their prices," she noted.

Maros Sefcovic is the European Commissioner for Trade and Economic Security.

According to French news broadcaster BFM TV, The French Ministry of Agriculture also said the European Commission’s intention would still need to be confirmed through EU legislation, which is currently under discussion.

The ministry also said that several other EU member states have called for the suspension of the CBAM’s application to fertilisers.

The CBAM aims to prevent “carbon leakage” by ensuring that imported products face the same carbon costs as goods produced within the EU.