Senseible

How is the CBAM figure for screws and nuts made from bought steel rod calculated?

The Commission's iron and steel guidance works it through: carbon steel rod at 1.567 t CO2 per tonne, times 1.176 t of rod per tonne of product, gives 1.843; natural gas adds 0.196, for 2.039 t CO2 per tonne of screws and nuts. Electricity need not be reported.

The plant in the example

Why more rod than product

Cutting and machining make scrap, and scrap carries zero embedded emissions. So every tonne of rod's emissions lands in the good parts: 20,000 t of carbon steel rod made 17,000 t of product and 3,000 t of scrap, a ratio of 1.176. Stainless: 10,000 t made 8,200 t, a ratio of 1.220.

Doing it with your numbers

  1. Total rod used and product made in the year, per production process.
  2. Divide rod by product for the ratio.
  3. Multiply by the rod's figure: your supplier's verified value or the EU default value.
  4. Add your own fuel: GJ per tonne x 56.1 t CO2 per TJ for natural gas, divided by 1,000.
  5. Report one figure per production process, with the alloy and scrap figures your buyer must declare.

Free allocation in the same example

The guidance gives 1.499 t CO2 per tonne for the carbon steel screws: 1.242 for the rod, times 1.176, plus the process benchmark of 0.038. Stainless: 0.919 x 1.220 + 0.038 = 1.159.

Worked example from the Commission's guidance

These are the Commission's example values, not Indian figures. Use your rod supplier's verified figure, or the default value, and your own gas readings.

What Senseible does here

Senseible's CBAM Suite builds this figure from your rod purchase invoices, gas bills and production records. We build it from your records, check every figure in-house, and an accredited verifier we partner with signs it off. Have your own verifier? Send it to them.

Sources: European Commission, CBAM Guidance No. 5d, iron and steel (14 August 2026), section 4.3, Tables 4-12 to 4-14

Last reviewed 2026-11-01.