Paris, France, October 25, 2024
Normec Verifavia, a recognized leader in carbon emissions verification within the transport and industrial sectors, has signed a memorandum of understanding (MoU) with the Korea Testing Laboratory (KTC) to address the growing demands of EU carbon regulations, specifically the Carbon Border Adjustment Mechanism (CBAM), and to support Korean companies as they expand in the European market. The agreement was signed on October 24 at Normec Verifavia’s Paris office in the presence of key executives from both organizations.
Under this agreement, Normec Verifavia and KTC will jointly focus on compliance procedures involving carbon emissions measurement and reporting. The areas of cooperation include:
Normec Verifavia brings ISO14065 accreditation and a proven history of verification services for high-stakes regulatory frameworks, including the EU-ETS. As the European Union accelerates carbon regulations in response to climate imperatives, this expertise will be invaluable in helping Korean companies navigate compliance with CBAM, which targets industries with high carbon footprints, such as steel and aluminum.
Data indicates that 88.9% of Korea’s exports to the EU subject to the Carbon Border Adjustment Mechanism (CBAM) consist of steel, while aluminum accounts for 10.9%. highlighting the critical role of effective emissions verification in ensuring uninterrupted trade flows.
The EU CBAM poses notable compliance challenges for Korean exporters, especially small and medium-sized enterprises, where the knowledge gap remains significant. A recent survey found that over 78% of these companies lack a comprehensive understanding of CBAM requirements, putting them at a disadvantage in maintaining EU market access. [1]
The structured agreement with Normec Verifavia provides these companies with streamlined verification support, reducing the complexities associated with CBAM compliance, and addressing gaps in expertise and resources. Additionally, the two organizations will explore further support frameworks around sustainable product lifecycle assessment and eco-design to enable Korean companies to meet EU sustainability expectations.
In alignment with its commitment to supporting Korean companies, KTC has also announced the opening of its new office in Frankfurt, Germany. Located in one of Europe’s financial hubs, this office will act as a focal point for responding to EU regulatory developments, including CBAM, EU MDR, and IVDR for medical and diagnostic devices. The Frankfurt office underscores KTC’s dedication to facilitating the market entry of Korean companies into the European Union by providing on-ground support and real-time regulatory updates.
KTC President Ahn Sung-il commented, “With European regulations evolving rapidly, Korean exporters face new challenges. This formal agreement with Normec Verifavia enables us to offer precise verification solutions, ensuring compliance with the EU’s strict environmental standards. We are committed to building a robust support network that will guide Korean companies through complex regulatory landscapes, ultimately enhancing their global competitiveness.”
The formal agreement between Normec Verifavia and KTC is a pivotal development for Korean companies looking to navigate EU carbon regulations and expand in Europe while ensuring adherence to rigorous compliance requirements. This initiative aligns with Normec Verifavia’s mission to offer transparent, reliable, and accurate verification services in carbon emissions accounting, reinforcing its position as a leading verification body for the European and global market.
