Assopannelli warned that urea used in wood panel production will become subject to the EU CBAM, driving urea costs up 40‑60% and total production costs up 10‑12%. Higher raw‑material costs compress margins for wood‑panel makers and could be passed on to furniture and construction material prices. Who is involved: Assopannelli, EU policymakers responsible for CBAM, urea suppliers, Italian wood‑panel manufacturers.. Likely next: Assopannelli will continue lobbying for an exemption; EU regulators may review the CBAM coverage in upcoming policy cycles.. Italian wood panel association Assopannelli has warned that urea, a key adhesive in panel manufacturing, will fall under the EU Carbon Border Adjustment Mechanism. This would raise urea prices by an estimated 40‑60% and overall production costs by 10‑12%. The warning highlights a potential cost pressure on a sector that supplies furniture and construction markets.
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