On October 29, Samira Musayeva, the Deputy Head of the State Tax Service of Azerbaijan, announced that approximately 0.4% of Azerbaijan’s exports to the European Union would be affected by the new Carbon Border Adjustment Mechanism (CBAM), which will take effect on January 1 next year. Speaking at the XIII International Caspian Energy Forum 2025 in Baku, Musayeva explained that beginning in 2026, the EU would implement a cross-border carbon adjustment mechanism requiring a carbon fee on certain imported goods.

She stated that the mechanism would apply to six product groups and that, upon import into the EU, authorities would determine whether a carbon price had already been applied in the country of origin for emissions produced during manufacturing. Based on that assessment, a carbon fee would be charged at the border. Musayeva emphasized that Azerbaijan had established a working group under the Ministry of Economy to study the potential effects of CBAM on domestic industries and to evaluate their competitiveness in the European market. She stated that "according to preliminary estimates, only 0.4% of all Azerbaijani exports are subject to the carbon tax," and noted that, due to recently introduced simplified EU mechanisms, "this effect will be insignificant."