[SMM Steel] European Carbon Prices Rise Toward €79/t Amid ETS Reform Discussions

Published: May 28, 2026 15:47

Save

[SMM Steel] European carbon prices for December 2026 EUA contracts rose to around €79/t in late May, supported by volatility in energy markets, optimism over a potential EU-UK carbon market linkage, and ongoing discussions on EU ETS reform. Market participants noted that UK carbon prices surged 6% on May 26 to £56.67/t, while EUAs climbed above €79/t on May 27. Meanwhile, six EU countries including Poland, Czech Republic, and Greece called for greater protection for heavy industry through increased free carbon allowances amid high energy costs and geopolitical pressures. The EU is expected to conduct a mid-term ETS review by July 2026.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM‘s internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or to learn more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

Common.Time.minsAgo

[SMM Steel] SMS Group Completes CELSA Barcelona Medium Section Mill Upgrade

[SMM Steel] German plant maker SMS Group completed the modernization of CELSA Barcelona’s medium section mill at its Castellbisbal site in Spain. The upgrade included replacing one of the 25-year-old CCS® mill stands and installing advanced electrical and automation systems to improve rolling force and operational efficiency. SMS said hot commissioning finished two days ahead of schedule, with regular production resuming immediately after a successful 700 mt rolling campaign. The mill’s annual capacity has increased from 500,000 mt initially to around 1 million mt following multiple upgrades, supporting higher-quality long steel production for the construction sector.

Common.Time.minsAgo

MMi Daily Iron Ore Report (May 28)

The iron ore futures market on the Dalian Exchange showed weak and volatile trading today. The main contract I2609 finally closed at 780.5 yuan/ton, down 0.06% from the previous trading session.

Common.Time.minsAgo

[SMM Sheets & Plates Daily Review] HRC Inventory Decline Slowed Down, Short-Term Prices Continue to Move Sideways

The most-traded HRC contract closed at 3,365, up 0.12%; spot market side, HRC prices in most cities were stable with slight increases, while cold galvanized prices remained stable. In the short term, bearish expectations on raw material supply and downstream demand have been partially digested. Combined with the stimulus from coke price hike news, ferrous metals are expected to move sideways in the short term, making it difficult to break through the upper or lower bounds of the range. HRC fundamentals side, inventory is unlikely to see a trend of inventory buildup before mid-June, and the most-traded HRC contract is expected to continue moving sideways within the range of 3,330-3,450.

Common.Time.minsAgo