Construction materials group Breedon is calling for urgent action to ensure a fair and effective outcome for UK cement producers.
The call comes ahead of the UK’s Carbon Border Adjustment Mechanism (CBAM) being introduced from January 1, 2027, to prevent ‘carbon leakage’ ensuring imported goods face similar carbon pricing to domestic products.
Breedon has campaigned alongside the UK Mineral Products Association to raise the profile of this foundation industry and advocate for its key role in our national security and economic prosperity, supporting British jobs, supply chains and decarbonisation.
The group has highlighted five priority asks for further action. It is calling for publication of CBAM rates and default values as early as practicable in 2026, including early visibility on cement-specific methodology development, supported by non-binding guidance.
Secondly Breedon asks for the cement industry to be part of the current and future EII (Energy Intensive Industry) compensation scheme to address the higher electricity costs faced by UK cement producers, when compared to non-UK producers, which are not addressed by the CBAM.
Breedon cautions that poorly calibrated “default values” could allow higher-carbon imports to underpay for their emissions.
Fourthly rBeedon urges the Government to strengthen product classification, verification and enforcement to ensure imports are accurately assessed and do not gain an unfair advantage over UK production.
Finally it is calling for real-time monitoring of import trends and clear contingency measures if carbon-intensive imports increase as well as the need for robust enforcement of registration thresholds.
Breedon chief executive Rob Wood says: “Breedon welcomes the introduction of a UK CBAM as a critical step in addressing carbon leakage and ensuring UK manufacturers are not undercut by higher-carbon imports. However, key elements of the UK CBAM scheme remain unclear just months ahead of planned implementation in January 2027, risking continued pressure on UK cement production and the Government’s ambitions to deliver 1.5 million new homes, whilst jeopardising investment in low-carbon technologies to meet the UK’s net zero ambitions.
“A robust Carbon Border Adjustment Mechanism is therefore a vital element in securing domestic production in an increasingly insecure world whilst protecting British jobs and delivering economic growth.”
