From January 1, two carbon-related taxes have entered into force affecting Serbia: a national carbon tax and the European Union’s Carbon Border Adjustment Mechanism (CBAM), known locally as SIBAM.
Serbia has introduced a domestic levy of four euros per tonne of carbon dioxide emissions, while exports of carbon-intensive goods to the EU are now subject to CBAM charges, according to RTS.
CBAM applies to products imported into the EU from non-member states, including aluminium, iron and steel, cement, fertilisers, hydrogen and electricity. The charge is paid by EU importers, not exporters directly, and is calculated based on the average price of emissions allowances under the EU Emissions Trading System (EU ETS).
Small imports below 50 tonnes are exempt for most products, except electricity. Any carbon tax already paid in the country of origin, such as Serbia’s new four-euro levy, is deducted from the CBAM amount due in the EU.
At the same time, Serbia’s national carbon tax applies to domestic producers in the same sectors, who must pay four euros per tonne of CO₂ emitted during production. While the immediate impact on consumer prices is expected to be limited, experts warn that the new regime could reduce the competitiveness of Serbian exports to the EU and dampen investor interest, particularly in electricity generation, given Serbia’s heavy reliance on coal-fired power.
