The Carbon Border Adjustment Mechanism (CBAM) aims to prevent carbon leakage by imposing carbon costs on imports of certain goods, aligning them with EU climate policies. Effective CBAM compliance requires accurate reporting of embedded emissions in imported products. However, data quality issues pose significant challenges. Importers often face difficulties obtaining reliable, verifiable emissions data from foreign suppliers, especially in complex supply chains or regions with limited transparency. Inconsistent methodologies for calculating carbon footprints and lack of standardized reporting frameworks further complicate compliance. Poor data quality can lead to under- or over-reporting of emissions, risking regulatory penalties or trade distortions. To address these issues, stakeholders advocate for enhanced guidance on data collection, standardized emission factors, and capacity-building in exporting countries. Robust verification processes and digital tools are also critical to improving data accuracy and traceability. Ultimately, resolving CBAM data quality challenges is essential to ensure fair implementation, foster global emissions reductions, and maintain smooth international trade flows.