U.S. threatens tariffs to block global shipping carbon tax

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The Trump administration pressures IMO members as the global carbon levy vote approaches. (Photo: White House)

The United States is pushing back against a global carbon pricing plan for the shipping sector, threatening retaliatory measures—including tariffs, port levies, and visa restrictions—against countries that support it. The move risks fragmenting regulatory standards, potentially pressuring countries to shift their positions.

U.S. pressures other members to reject ship fuel emissions deal

According to Reuters, U.S. State Department officials recently contacted other member states of the International Maritime Organization (IMO), urging them not to support the proposed “Net-Zero Framework.” In April, IMO members reached a preliminary agreement on the world’s first industry-wide carbon pricing scheme, which would levy greenhouse gas emission fees on ships above a certain threshold.

The Trump administration skipped the April meeting, claiming the mechanism would harm U.S. citizens. A State Department spokesperson said that if the proposal passes a vote at the IMO’s extraordinary session in October, Washington is prepared to impose countermeasures such as tariffs, port fees, and visa restrictions.

While declining to comment on specific diplomatic discussions, the spokesperson confirmed that the U.S. has been engaging allies and partners and encouraging them to adopt similar positions.

In August, U.S. Secretary of State Marco Rubio, Commerce Secretary Howard Lutnick, Energy Secretary Chris Wright, and Transportation Secretary Sean Duffy issued a joint statement condemning the IMO framework as a de facto global carbon tax on the U.S. They warned it would increase consumer costs and disadvantage American businesses in shipping fuel standards, while giving Chinese companies a competitive edge.

The Dutch government is reported to have received a verbal warning from Washington, though it is unclear how many other member states were contacted.

The U.S. views shipping fuel standards as harmful to American companies and likely to increase consumer costs. (Photo: Pexels)

Experts warn of fragmentation as U.S. signals retaliation

Although the Trump administration’s countermeasures remain uncertain, Rico Luman, Senior Economist for Transport and Logistics at ING Bank, cautioned that Washington’s stance could place regulators in other member states in a difficult position, leading to fragmented rules—or even shifts in national positions.

Observers widely believe President Trump’s rejection stems from his disbelief in climate change and opposition to industry decarbonization. But James Lightbourn, founder of ship finance advisory Cavalier Shipping, linked the move to strategic policy, arguing that Trump may be seeking to boost U.S. maritime dominance.

By maintaining looser decarbonization rules, he suggested, the U.S. could attract vessels with similar positions to register under the American flag.

Source: ReutersSeatrade MaritimeSustainable Views

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