CBAM adds no fixed euro figure to urea or ammonia; the cost is a formula. Multiply tonnes shipped by embedded emissions per tonne, either verified actual data or the India default carrying a flat 1 percent fertiliser mark-up, by the payable share for the import year, by the EU ETS certificate price, less any recognised origin carbon price.
The fertiliser cost formula
CBAM does not add a single per tonne charge to urea or ammonia. The cost for an import year is built from cited components:
certificate cost = tonnes shipped x embedded emissions per tonne x payable share for the year x EU ETS certificate price, less any origin carbon price the European Union recognises.
Embedded emissions are either verified actual installation data or the country of origin default value from Implementing Regulation (EU) 2025/2621. Fertilisers count direct plus indirect emissions, natural gas being the feedstock and the main source. The certificate price tracks the EU ETS and averaged EUR 75.36 per tonne of CO2e in the first quarter of 2026. The payable share starts at 2.5 percent of embedded emissions in 2026 and reaches 100 percent by 2034.
India default values for urea and ammonia
Fertilisers carry a flat 1 percent mark-up on the default value, held constant across 2026, 2027 and 2028, set by Implementing Regulation (EU) 2025/2621, recital 6. This is the fertiliser exception: cement, steel, aluminium and hydrogen ramp at 10, 20 and 30 percent, while ammonia and urea stay at base times 1.01 throughout.
| Product | CN code | Base (tCO2e/t) | Direct + indirect | 2026 marked up (x1.01) |
|---|---|---|---|---|
| Urea | CN 3102 10 | 2.17 | 2.01 + 0.16 | 2.19 |
| Anhydrous ammonia | CN 2814 10 00 | 3.28 | 3.06 + 0.22 | 3.31 |
Straight nitrogen products carry the most embedded carbon, driven by the gas feedstock. Values are India totals, specific to the country of origin, so the set differs elsewhere.
Where to size the actual figure
Verified actual data lowers the bill by replacing the marked up default, a deliberately conservative estimate, with the plant’s real and usually lower emissions. A carbon price paid at origin is deductible only where the European Union recognises it, and India’s Carbon Credit Trading Scheme is not yet recognised.
A single euro per tonne figure depends on product, volume, year and data basis, so no headline number applies. The CBAM cost calculator estimates a specific product, volume and year; the CBAM guide sets out the mechanism; and a CBAM consulting service prepares installation data for verification by an accredited verifier.
Sources: Implementing Regulation (EU) 2025/2621 · Regulation (EU) 2023/956 · European Commission CBAM