In this episode of State of Sustainability, we explore the Carbon Border Adjustment Mechanism (CBAM), one of the most significant developments in climate policy, carbon pricing and international trade. As the European Union begins implementing CBAM, businesses around the world are assessing what the new regulations mean for imports, exports, supply chains and decarbonisation strategies.

We break down how CBAM works, why it was introduced, and which industries are expected to feel the greatest impact. From steel and cement to fertilisers, aluminium and hydrogen, the mechanism is designed to prevent carbon leakage and ensure imported products face similar carbon costs to those produced within the EU.

The discussion explores the latest CBAM carbon certificate pricing, the potential impact on global trade flows, and the challenges businesses face as they adapt to new reporting and compliance requirements. We also examine concerns around competitiveness, trade barriers and whether CBAM could accelerate the global adoption of carbon pricing systems.

The episode looks at how major economies, including China and the United States, are responding to Europe's carbon border tax, and whether similar mechanisms could emerge elsewhere. We discuss the implications for emissions trading schemes, green steel production, industrial decarbonisation and the future of sustainable manufacturing.

Topics covered in this episode include:

• What the Carbon Border Adjustment Mechanism (CBAM) is and why it was introduced

• How CBAM is designed to prevent carbon leakage and support EU climate goals

• The industries most affected, including steel, cement, fertilisers, aluminium, hydrogen and electricity

• The latest CBAM carbon pricing and what it means for exporters

• The potential impact on international trade and global supply chains

• Whether CBAM creates a level playing field or acts as a trade barrier

• How China is responding through the development of its emissions trading scheme

• The possibility of similar carbon border taxes being introduced in other regions

• The role of CBAM in accelerating industrial decarbonisation

• Challenges around emissions data collection, reporting and verification

Key statistics discussed:

• Steel accounts for approximately 69% of the trade volume affected by CBAM

• Fertilisers represent around 15% of affected imports

• Cement accounts for approximately 11%

• Aluminium represents around 5%

• Current carbon certificate prices are approximately €75 per tonne of CO₂ equivalent

• Green steel currently carries a premium of approximately €200–300 per tonne

Whether you're involved in sustainability, ESG, manufacturing, procurement, international trade or climate policy, this episode provides a practical overview of one of the most important regulatory changes shaping the future of low-carbon industry.

Listen now to learn how CBAM could transform global trade, influence carbon pricing strategies and drive the next phase of industrial decarbonisation.

Do you think CBAM will accelerate global decarbonisation, or create new challenges for international trade? Let us know what you think by emailing Saif@altruistiq.com.

To discover how leading organisations are improving sustainability reporting and carbon management, visit Altruistiq.com.

This episode was produced by thepodcastcoach.co.uk

Assets under management in the impact and ESG space are close to an all-time high, somewhere between $1.5 and $1.6 trillion. So why is capital actually leaving the sector? In this episode of the State of Sustainability, host Saif Hameed takes a detour from resilience and volatility to dig into what's going wrong, and where the genuine opportunities still exist.

The short answer: the industry has an identity problem. ESG labels get applied to mainstream tech stocks on the basis that they carry low environmental risk. Returns across impact funds are wildly inconsistent and the gap between what the sector promises and what it can actually deliver has become impossible to ignore.

Saif traces how impact investing developed along two tracks. Private markets had early pioneers like the Acumen Fund building something genuinely mission-led. Public markets then borrowed the language through ESG frameworks, with rather looser results.

Three lessons from that history:
ESG was never designed to do this job. It emerged in the 1990s as a risk-assessment tool, not as a valid basis for investment inclusion. Retrofitting it into a mainstream strategy was always going to cause problems.

The trade-off question needs an honest answer. You cannot simultaneously maximise financial returns and social impact without giving something up. The industry has spent years avoiding that conversation.

Measurement doesn't scale. Comparing affordable housing projects with renewable energy infrastructure under a single performance framework produces numbers that mean very little.

Where does that leave things? Saif argues the sector needs a significant rebrand and a serious recalibration of financial expectations. But there are three areas where impact investing still has real potential: generating brand equity and strategic value for corporate venture capital; venture philanthropy, where charitable capital gets recycled for compounding impact rather than disappearing into operational costs; and catalytic first-loss capital inside blended finance structures run by multilateral development institutions.

The through-line: accepting below-market returns might be the only way to preserve what impact investing was actually supposed to be.

What are your thoughts on this? I'd love to hear from you. Email Saif@altruistiq.com

Ready to transform your sustainability reporting? Start your journey at Altruistiq.com

This podcast is produced by The Podcast Coach.

What if the secret to unbreakable supply chain resilience isn't squeezing your suppliers for the lowest price, but actively paying them to heal the planet?

In this episode of the State of Sustainability, host Saif Hameed is joined by David Croft, former sustainability lead at Reckitt, Diageo, Waitrose, and Cadbury, to explore the critical shift from short-term agility to long-term resilience in global supply chains.

David shares his extensive experience in building sustainable procurement strategies, emphasising the 'triple win' concept: an approach that delivers value for the business, the supplier, and the planet.

A core focus of their discussion is the changing dynamic between large organisations and primary producers, such as farmers in the cocoa and latex industries. By rewarding sustainable land management, such as nature-based solutions that sequester carbon or prevent downstream flooding, companies can secure reliable, high-quality resources while mitigating significant ecological and financial risks.

Ultimately, this episode offers a compelling look at how addressing environmental externalities head-on is no longer just a compliance exercise, but a fundamental driver of future business growth and resilience.

What are your thoughts on this? I'd love to hear from you. Email Saif@altruistiq.com

Ready to transform your sustainability reporting? Start your journey at Altruistiq.com

This podcast is produced by The Podcast Coach.