United States has sharply escalated opposition to a proposed global carbon tax on shipping, issuing warnings of economic retaliation as the International Maritime Organization (IMO) meets in London to consider new emissions regulations. Labeling the initiative as the “Global Green New Scam Tax on Shipping,” Trump has called on IMO member states to reject the proposal, which seeks to establish a carbon pricing mechanism for international shipping and generate funds for low-carbon initiatives.
The U.S. administration argues that such a framework could drive up global shipping costs by at least 10 percent, potentially harming the global economy and unfairly impacting American interests. In response, U.S. officials have outlined the possibility of retaliatory measures—including sanctions, investigations into anti-competitive practices, port levies, and visa restrictions—targeted at countries supporting the framework.
Not content with voicing opposition, the U.S. has also proposed procedural changes at the IMO, advocating for an “explicit acceptance” model. This would require countries to actively opt in to new regulations after a vote, creating additional hurdles for the adoption and enforcement of the emissions rules, rather than relying on the traditional method of passive acceptance unless a majority objects.
Despite mounting U.S. resistance, the European Union and key shipping associations continue to champion the carbon pricing plan, stressing the need for coordinated global action to decarbonize the shipping sector. As IMO discussions intensify, the outcome of this week’s vote will likely determine the future direction of climate policy in a sector critical to world trade.
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