Morocco: A Flexible Player in the Face of the European Carbon Border Adjustment Mechanism (CBAM)
Morocco emerges as a flexible player in the face of the Carbon Border Adjustment Mechanism (CBAM) that the European Union intends to fully implement starting January 2026. Thanks to a proactive energy transition policy, Morocco is one of the least exposed countries in North Africa to this mechanism, as revealed by a study conducted by RES4Africa.
The European mechanism, which targets high-emission products such as steel, cement, aluminum, fertilizers, and later electricity, represents both a challenge and an opportunity for Morocco, given its status as a key trading partner of the European Union.
In preparation, the Kingdom has engaged early in renewable energy projects aimed at increasing its share to over 50% of the electrical mix by 2030, with investments in solar, wind, and green hydrogen. Additionally, a national carbon tax will come into effect starting in 2026 under a ten-year progressive scheme, with the Moroccan Institute for Standardization (IMANOR) responsible for monitoring and certifying the carbon inventory of enterprises.
These steps provide Morocco with a competitive advantage, as demonstrated by its negative CBAM exposure index value (-0.0030), indicating that its exports have a lower carbon intensity than the European average, particularly in the cement sector (-0.0579). Furthermore, with only 10% of exports in 2023 subject to the mechanism, connecting the Moroccan electricity grid to its European counterpart offers the Kingdom additional leeway to enhance green growth.
The “Development – Green Growth” program, allocated one billion dirhams, supports small and medium enterprises in adopting low-carbon technologies. Researcher Kamelia Mahjoub, who conducted the analysis for RES4Africa, asserts that these initiatives enhance Morocco’s competitiveness and strengthen its image as a reliable partner for the European Union.
Thus, Morocco transcends mere compliance with European regulations to assert its position as a regional hub for energy and industry capable of transforming environmental challenges into a driver for sustainable development.
