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Shipping Emissions Agreement Derailed
A United Nations-backed climate framework for the global shipping industry has been effectively stalled after a controversial vote to delay adoption for one year, according to reports from the International Maritime Organization meetings in London. The Net Zero Framework, which had been provisionally agreed upon by a majority of countries in April, would have established a legally-binding carbon price on shipping emissions starting in 2030.
Contentious Negotiations and Diplomatic Tensions
Diplomats described the week-long talks as “utterly horrendous” as the United States and allied nations applied what sources indicated was immense pressure on other countries both publicly and privately. One veteran IMO observer reportedly characterized the behavior of US delegates as resembling “gangsters,” citing incidents of delegates making rude faces during speeches, challenging the chairman’s authority, and accusing the IMO secretariat of bias.
The International Maritime Organization typically operates through consensus-building, but analysts suggest the confrontational approach marked a significant departure from normal diplomatic protocols. The IMO secretary-general Arsenio Dominguez concluded the meeting by asking delegates not to clap, noting there had been “no winners” from the process and expressing concern about “the manner in which the conversations took place.”
Vote Outcome and International Reactions
On Friday afternoon, Saudi Arabia proposed adjourning discussions for one year, a move that ultimately passed with 57 countries in favor, 49 against, and 21 abstentions. This compares sharply with the April vote where 63 members had supported the framework. The European Union bloc fractured during the vote, with Greece and Cyprus abstaining while remaining member states opposed the delay.
Ralph Regenvanu, climate change minister for Vanuatu, stated that the delay was “unacceptable given the urgency we face in light of accelerating climate change.” He warned the decision would make upcoming negotiations at the UN COP30 climate summit in Brazil “more difficult.”
Political Context and Industry Impact
The opposition to the shipping framework appears part of a broader political strategy, according to analysts who note that former President Donald Trump had previously characterized the proposed levy as a “global green new scam tax on shipping.” Reports indicate the US had warned countries supporting the measure could face vessel blockages, visa restrictions, and commercial penalties.
Thomas Kazakos, secretary-general of the International Chamber of Shipping, expressed industry disappointment with the outcome, stating that “industry needs clarity to be able to make the investments needed to decarbonise the maritime sector.” The shipping industry delivers approximately 80% of global trade and contributes an estimated 3% to global greenhouse gas emissions.
Broader Implications for Climate Governance
The Brazilian delegation, while not explicitly naming the US, stated that the tactics used to apply bilateral pressure on countries had been unprecedented. They warned that such methods “should not ever be used among sovereign nations” and expressed concern they could replace normal negotiation processes for global decision-making.
The proposed framework would have imposed a carbon price on emissions from ships larger than 5,000 tons, potentially generating up to $15 billion annually from 2030. Supporters of the agreement worry the delay will allow opponents to continue pressuring countries to withdraw support or water down the agreement’s provisions. Meanwhile, recent industry developments and related innovations in other sectors show contrasting approaches to addressing environmental challenges. As the maritime sector navigates these complex market trends, the delay leaves significant uncertainty about the industry’s decarbonization pathway.
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