Europe’s cement manufacturers will face huge carbon costs by 2038

European cement producers are entering a period of much greater carbon exposure as EU ETS free allocation is phased out and revised benchmarks reduce the allowances available per tonne of production.

With CBAM, rising EUA prices, and costly decarbonisation options reshaping the sector, the outlook to 2038 raises important questions around operating costs, competitiveness, and the role of carbon capture.