Perfect Alloy Components retains trade continuity in the European market

The Sustainability Cloud assisted in setting up the digital infrastructure needed for CBAM reporting and automated data collection.

Contact us

Industry:  Manufacturing company
TSC Solution used: TSC NetZero (CBAM solution)

Company size: 600+ employees

  • Challenges
  • Product scope identification: As a company with more than 50% exports to the EU, Perfect Alloy Components has a strong reputation and a history of customer satisfaction. However, the company faced challenges in maintaining business continuity as it was not able to identify products that fell under CBAM reporting.
  • Data gaps: As the CBAM is new compliance, all stakeholders continue to learn and understand more with every passing quarterly reporting deadline. When Perfect Alloy Components decided to initiate its CBAM reporting, it realised that it had no precursor data available. This is because third-party suppliers did not provide emissions data since they assume they don’t fall under direct CBAM reporting.
  • Knowledge deficit: The team was unfamiliar with CBAM rules, guidelines and compliances. It faced multiple challenges and a lot of confusion about where and how to start CBAM reporting.
  • Timely reporting: The company was facing high risk of business shutdown due to strict timeliness in reporting. But they lacked adequate infrastructure and system to submit the quarterly reports.
  • Outcome
  • The Sustainability Cloud’s specialised CBAM solution assisted in matching the company’s product HSN code with the EU’s CN codes to determine CBAM applicability for 250 product compositions.
  • The TSC NetZero’s technological prowess and immense experience assisted in the real-time analysis of data gap points. Perfect Allow Components gained a complete understanding and actionable insights into how data collection and sharing should be done across the production routes and production processes. It also identified precursors’ data gathering challenges.
  • The Sustainability Cloud eliminated the information gap and conducted multiple training sessions, set up workshops and completed many upskilling programmes. With this, Perfect Alloy Components team members started to adopt and implement the reporting guidelines.
  • After TSC NetZero extended assistance to Perfect Alloy Components with live-tracking and monitoring of emissions data, the company was able to build facilities to build a robust sustainability framework. Moreover, it achieved the aim pf timely reporting and retaining its trade with the EU.

The threat of over 4 decades of international trade channels closing 

Perfect Alloy Components, established in 1979, is a prominent engineering consumable manufacturer specializing in PAC valve seat inserts and turbocharger parts. With over 50% of its production exported to countries such as Britain, Canada, Germany, and the USA, the company has built a reputation for stringent quality standards and customer satisfaction. However, CBAM threatened its global presence, especially in the EU region. The company did not know how to identify different products under different CN codes for CBAM reporting.


Due to their massive trade relations with the EU, they needed a quick CBAM solution to keep themselves in business. The TSC NetZero’s CBAM solution helped in the effective identification of problems, locating technical data collection roadblocks, and successfully resolving them to submit accurate CBAM reports. Its advanced technological solutions conduct product scope analysis and match the company’s product HSN codes with the EU’s CN codes to determine CBAM applicability. With its timely diagnosis of the problem, Business losses were prevented, and the economic interests of all stakeholders were protected.

Absence of a carbon-embedded data-gathering infrastructure

When Perfect Alloy Components was asked to submit its CBAM report by its importers, it lacked clarity regarding several rules, and it could not submit accurate emissions data. Due to immense complexities at the supply chain network level, data collection was one of the primary challenges faced by Perfect Alloy Components. For instance, third-party vendors were unwilling to provide the emissions data as they believed they were exempt from CBAM reporting requirements. The challenge was exacerbated also due to the lack of coordination between the suppliers to the EU and their small-scale vendors. 


However, adequate training and workshops were conducted to prepare sustainability officers on the methods of precursor data collection. The Sustainability Cloud helped in setting up the effective digital infrastructure required for CBAM reporting and automated data collection. Sustainability officers at the company got a better understanding of methods to streamline emissions tracking and data management. TSC also helped in analysing production routes and tracked emissions data across processes.

Perfect Alloy Components adopts sustainability management after upskilling

As the CBAM is new to everyone, the team was completely unfamiliar with CBAM rules, guidelines and compliances. There was a widening knowledge deficit and a lack of clarity about where and how to start CBAM reporting. Lack of in-depth perspective on CBAM also meant little action on adopting measures to early CBAM ready business. 

The EU mandates ongoing Transitional Phase 1 to be used as a pilot learning phase. Hence, the TSC conducted multiple training sessions, set up workshops and completed many upskilling programmes. With this, Perfect Alloy Components team members started to adopt and implement the reporting guidelines. The timely training helped in adopting and streamlining the sustainability management at the organisation level.

When asked to submit the CBAM report, we faced challenges in data collection and gathering of precursor data for our products. We also did not know how to identify our products for CBAM reporting as per the CN codes. However, The Sustainability Cloud provided all the training and helped us set up the digital system required for automated CBAM reporting. Their software made it very easy to compile our report.

B.K Pradeep
Manager Engineering Department, Perfect Alloy Components

Becoming future-ready for timebound accurate reporting

When Perfect Alloy Components approached The Sustainability Cloud, it was not future-ready to embrace an increasingly climate-conscious economy worldwide. It lacked experience in sustainability reporting and integrating data collection into its system to facilitate timely reporting and constant collaboration between the company and its importers, as well as third-party suppliers for precursors’ data gathering and communication. 

However, after a robust and enhanced digital infrastructure was created with the help of our advanced tools, Perfect Alloy Components not only submitted the quarterly report on time but did everything that was required to be future business-proof.