The Carbon Border Adjustment Mechanism, or CBAM, is an EU policy designed to put a carbon price on the imports of certain goods.
The policy stops companies from moving their production to countries with weaker climate rules just to avoid paying for emissions. In practice, this means importers will have to report the greenhouse gas emissions tied to products like steel, cement, aluminum, fertilizers, and electricity—and pay a fee based on those emissions.
By doing this, imported goods are treated the same as goods made in the EU.
In this blog, we’ll break down how CBAM report assurance works, how to comply with CBAM, CBAM obligations for importers, and how HQTS can help you stay compliant and competitive in the EU market.
How to comply with CBAM?
The Carbon Border Adjustment Mechanism is part of the EU’s plan to fight climate change and prevent “carbon leakage”. This is when companies move production to countries with lower environmental standards.
To stop that, the EU is putting a carbon price on certain imports. That way, whether a product is made in Europe or abroad, it has to meet the same carbon standards.
Right now, CBAM applies to goods like:
- Cement
- Iron and steel
- Aluminum
- Fertilizers
- Electricity
- Hydrogen
If your company exports these to the EU, you’ll need to report the “embedded emissions” — basically, the greenhouse gases released while making your product.
What is CBAM report assurance?
CBAM report assurance is the process of having your emissions data independently verified by a qualified third party. The purpose is to confirm that the carbon figures you’ve reported are accurate, complete, and calculated in accordance with official EU guidelines.
Starting in 2026, this kind of third-party verification will become mandatory under the definitive phase of the CBAM regulation. However, companies are strongly encouraged to begin preparing during the current transition period, which runs from 2023 to 2025.
This assurance is typically carried out by a specialized verification body like HQTS. The verifier conducts a structured review of your data collection methods, emissions calculations, and documentation.
At the end of the process, they issue a formal statement confirming whether your CBAM report meets the required standards for accuracy and compliance.
What gets checked during CBAM assurance?
Third-party verifiers check whether your emissions data is accurate, complete, and meets EU requirements. Their job is to make sure everyone is following the same rules and reporting emissions in a fair, consistent way.
They’ll look at:
- A verifier looks at how you calculated the emissions in your imported goods. They check whether you used reliable data, the right methods, and that everything’s backed up with proper records.
- If your numbers come from actual measurements at a factory, they might visit the site to confirm things on the ground. If they can’t, they’ll ask for enough proof to feel confident the data holds up.
- If you’re saying a carbon price was already paid in another country, the verifier will need solid evidence—like official payment records or receipts.
Once they’ve reviewed everything, the verifier writes a report confirming whether your data is accurate and complete. Only then is your CBAM report officially “verified” and ready to go.
To read more about Higg FEM verifications check out our full guide here.
Why get your CBAM report verified?
First, it gives your team peace of mind. Knowing that your emissions data is accurate and aligned with EU expectations helps reduce uncertainty and ensures you’re on the right track. It also helps you avoid penalties if your data is incomplete or incorrect.
Verification can also strengthen your relationships with EU importers. These buyers are under pressure to submit clean, compliant CBAM declarations, and many prefer — or even require — verified emissions data from their suppliers.
Beyond compliance, the verification process often reveals areas for improvement. You might discover gaps in data collection, weak controls, or outdated emission factors. And by showing that you take carbon accountability seriously, verified CBAM reporting signals to stakeholders that you’re genuinely committed to transparent, responsible trade.
CBAM assurance with HQTS
At HQTS, we help companies like yours get CBAM-ready with trusted, third-party verification. With offices in over 40 countries and 2,000+ staff, we offer on-site expertise wherever your operations are.
Here’s how CBAM assurance with HQTS works:
- Independent verification of your emissions data to meet CBAM requirements.
- Document review, site visits, and interviews to confirm accuracy and traceability.
- Formal assurance statement to support your CBAM declaration.
- Fast, clear communication.
- Local and global support with 40+ offices and experienced auditors.
To learn more about HQTS CBAM report assurance services, speak to a member of our team now.
