EMISSIONS: US May Retaliate Against Carbon Shipping Levies

The US is threatening to retaliate against any international levy on their shipping emissions, with Washington urging members of the UN’s IMO to reconsider their support, FT reported. 

• “Should such a blatantly unfair measure go forward, our government will consider reciprocal measures so as to offset any fees charged to US ships”, said a copy of a US message seen by the FT.
• “President Trump has made it clear that the US will not accept any international environmental agreement that unduly or unfairly burdens the US or the interest of the American people,” the message stated.
• Transport & Environment (T&E) has called on the International Maritime Organization (IMO) to adopt a global carbon levy of $150/t, it said this week.
• A proposal of the levy is expected to be released after the Marine Environment Protection Committee (MEPC) meeting from 7-11 April 2025.
• Sources told the FT that the US may not attend this week’s negotiations.
• IMO members target cutting emissions by 20% by 2030, 70% by 2040 versus 2008 emission levels, and net-zero emissions by 2050.