US campaign to derail IMO carbon tax goes public

US campaign to derail IMO carbon tax goes public

US rejects greenhouse gas deal at IMO and threatens measures against countries that support it

by Lloyd's List


13 August 2025 (Lloyd's List) - THE US has warned it will retaliate against countries supporting the adoption of the Net Zero Framework, a global deal to reduce shipping's global greenhouse gas emissions, at the International Maritime Organization in October.

 

The announcement, made in a joint statement issued on Tuesday by Secretary of State Marco Rubio, Commerce Secretary Howard Lutnick, Energy Secretary Chris Wright and Transportation Secretary Sean Duffy, comes ahead of a vote at the IMO’s Marine Environment Protection Committee.

 

“President Trump has made it clear that the United States will not accept any international environmental agreement that unduly or unfairly burdens the United States or harms the interests of the American people,” read the statement.

 

“Our fellow IMO members should be on notice that we will look for their support against this action and not hesitate to retaliate or explore remedies for our citizens should this endeavor fail,” it continued.

 

While the US launched a similar bid to derail the agreement being adopted in April, that ultimately came too late to sway a sufficient number of the 176 member state governments against the deal.

 

Since then, the US has been engaged in a quiet campaign behind the scenes trying to force IMO member states to reverse their support ahead of the pivotal October vote.

 

The US statement follows a similar bid from a group of countries dominated by oil exporting states which have resumed their campaign to delay adoption.

 

In a paper submitted to the IMO earlier this month Iran, Iraq, Bahrain, Kuwait, Saudi Arabia, the UAE, Venezuela and Yemen argued the Net Zero Framework would encourage ships paying to pollute rather than switching to green fuels.

 

The US government’s influence as a single member state within the IMO process is limited. However, the latest statement suggests that the previously quite diplomatic campaign that has seen State Department officials lobbying key industry officials and government representatives outside the IMO structures is now being accelerated.

 

“Whatever its stated goals, the proposed framework is effectively a global carbon tax on Americans levied by an unaccountable UN organization. These fuel standards would conveniently benefit China by requiring the use of expensive fuels unavailable at global scale,” read the US statement.

 

China’s support for IMO NZF deal within the IMO is likely to act as a significant barrier to any last minute US efforts to persuade countries to reverse their previous positions. Even the threat of unspecified retaliatory action is unlikely to move sufficient numbers against adoption given the significant majority that adopted the deal in April.

 

Member states of the IMO agreed on the net zero framework in April following a vote that required a simple majority, 63 member states including China, Brazil and EU countries voted in favour, while only 16 states voted against.

 

In October, a vote would require a two-thirds majority of 108 member states that ratified the key legislation aiming to reduce shipping pollution. IMO only resorts to voting if there is no agreement on a regulation among member states.

 

The US campaign, however, is not being waged inside the IMO structures and instead appears to be directly targeting governments by publicly claiming that a net zero deal will cost consumers and industry.

 

The US is arguing the new IMO standards would preclude the use of proven technologies that fuel global shipping fleets, including lower emissions options where US industry leads such as liquified natural gas and biofuels.

 

Under the new framework, ships will have to pay fees for failing to meet fuel standards and emissions targets which the US says are “unattainable”.

 

“These fees will drive up energy and transportation and leisure cruise costs. Even small vessels would incur millions of dollars in fees, directly driving up costs for American consumers,” the US statement read.

 

“The Trump Administration unequivocally rejects this proposal before the IMO and will not tolerate any action that increases costs for our citizens, energy providers, shipping companies and their customers, or tourists. We will fight hard to protect the American people and their economic interests”.

Source: Lloyd's List