Welhunt & Sylvera Co-host Closed-door CORSIA Roundtable: Market Readiness Becomes the Key Challenge for Phase 1

In March 2026, Welhunt co-hosted a closed-door CORSIA Roundtable in collaboration with Sylvera, bringing together key stakeholders across Taiwan’s aviation and carbon market ecosystem. Participants included the Civil Aviation Administration (CAA), Taiwan Carbon Solution Exchange (TCX), China Airlines, EVA Air, and other aviation sector representatives.

The session featured Sylvera’s Policy Team experts who provided a comprehensive overview of the evolving landscape of CORSIA Phase 1 (2024–2026), covering regulatory developments, supply-demand dynamics, and emerging pricing signals. The discussion also incorporated a dedicated Q&A session addressing pre-submitted questions from participants, allowing for targeted clarification on key areas of concern.

From Policy Framework to Operational Market
One of the central themes of the roundtable was the transition of CORSIA from a policy-driven framework into an operational compliance market. While the scheme has been under development for years, Phase 1 marks the first period where airlines must actively secure eligible emissions units to meet compliance obligations.
This transition is revealing structural challenges that go beyond policy design, particularly in the conversion of theoretical supply into fully eligible credits.

Supply Constraints Driven by Authorization and Corresponding Adjustments
A key insight highlighted during the session is that the current market is not constrained by a lack of underlying projects, but rather by the ability to convert those projects into CORSIA-eligible units.
Host country authorization and the requirement for corresponding adjustments (or approved insurance mechanisms) have emerged as the primary bottlenecks. These factors significantly limit the volume of credits that can be labeled as eligible for Phase 1, creating a gap between potential and actual supply.

Emerging Supply-Demand Imbalance and Pricing Implications
The roundtable also pointed to a growing imbalance between supply and demand. While demand from airlines is expected to increase steadily during Phase 1, the availability of eligible credits remains limited.
This imbalance is beginning to shape market behavior, with increasing attention on delivery certainty, eligibility guarantees, and contract structures. Pricing signals in the market are gradually reflecting these constraints, particularly for credits with clear CORSIA eligibility pathways.

Procurement Strategy: Timing, Certainty, and Risk Management
Another important takeaway is the shift in procurement considerations among airline buyers. Rather than focusing solely on price, buyers are increasingly evaluating:
．Delivery timelines aligned with compliance deadlines
．Certainty of eligibility (including authorization and CA status)
．Counterparty reliability and contractual safeguards
This reflects a broader shift toward risk management in carbon procurement, as compliance exposure becomes more immediate.

Strengthening Market Understanding in Taiwan
As Taiwan’s aviation sector prepares for deeper engagement with CORSIA, the roundtable served as an important platform to bridge global market developments with local stakeholders.
Welhunt remains committed to supporting market participants through access to high-quality carbon credit supply, market insights, and transaction expertise. As demand for CORSIA Eligible Emissions Units (CEEUs) continues to evolve, early engagement and informed procurement strategies will be critical.