Countries at UN shipping agency vote to delay decision on carbon price under US pressure
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Cargo ships at a container terminal in Asia. Global shipping accounts for nearly 3 per cent of the world’s CO2 emissions.
PHOTO: AFP
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LONDON – A majority of countries at the UN shipping agency voted on Oct 17 to postpone by a year a decision on a global carbon price on international shipping, after failing to reach consensus on the emissions reduction measure amid US pressure.
The decision to delay the deal is a blow to the European Union and other countries including Brazil which have been pushing for the global shipping industry to go greener and set out a price mechanism for decarbonisation.
Washington and Riyadh, the world’s two largest oil producers, have strongly opposed a carbon price on shipping during talks in London at the International Maritime Organisation (IMO).
The Trump administration is looking to boost US economic might, including by taking a bigger role in global shipping, and has used tariffs as a weapon to extract better terms from Washington’s trade partners.
After days of disagreements, Saudi Arabia tabled a motion on Oct 17 to defer discussions for one year, which was passed by a simple majority of 57 countries, with 49 which opposed and sought to continue with a deal.
US President Donald Trump called on IMO member states on Oct 16 to vote no, saying on his Truth Social platform that Washington would “not stand for this global green new scam tax on shipping and will not adhere to it in any way, shape or form”.
“The delay leaves the shipping sector drifting in uncertainty,” said Mr Faig Abbasov, director of shipping with environmental group Transport & Environment.
The IMO struck a preliminary deal threaten to use visa restrictions and sanctions
The IMO, which comprises 176 member countries, is responsible for regulating the safety and security of international shipping and preventing pollution.
IMO Secretary-General Arsenio Dominguez told delegates in closing remarks: “Let’s not celebrate. There are concerns we need to address.”
Global shipping accounts for nearly 3 per cent of the world’s CO2 emissions. About 90 per cent of the world’s trade is conducted by sea, and emissions are set to soar without an agreed mechanism. REUTERS
