Switzerland’s Federal Council has recommended parliamentary approval of a proposed CBAM for cement imports, while calling for an import-volume trigger before charges apply.

In its position adopted on 21 October, the government supported legislation intended to address differences in carbon costs between Swiss cement producers and competitors in countries with less ambitious climate policies. However, it recommended that the mechanism should only become applicable if cement imports from third countries rise substantially, citing international trade risks.

Swiss cement producers participate in the country’s emissions trading system, which is linked to the EU ETS. Free allocation is being progressively reduced through 2034, increasing producers’ exposure to carbon costs and the risk of production shifting overseas.

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The Federal Council considers the proposed mechanism suitable for limiting carbon leakage and supporting investment certainty. The legislation remains subject to parliamentary approval; no new import charge has been adopted.