Debate over carbon pricing highlights widening divide in global climate policy
The International Maritime Organization (IMO) has postponed adoption of its proposed Net-Zero Framework following opposition from key member states, including the United States under President Donald Trump. The framework aimed to introduce a global carbon pricing system that would reward cleaner vessels and penalize higher emitters, forming part of the IMO’s strategy to cut emissions by 20 percent by 2030 and 70 percent by 2040 compared to 2008 levels.
The delay reflects growing political resistance to international carbon pricing mechanisms, with the United States threatening sanctions against countries supporting the framework. While the IMO remains committed to progressing negotiations in 2026, the setback underscores the challenges of reaching consensus on decarbonization policy amid rising geopolitical and economic pressures.
Sources: BRS Shipbrokers, International Maritime Organization (IMO), Impakter, The Economic Times & TradeWinds