Overview
- IMO member states are meeting in London with a formal vote expected by Friday on adopting the Net‑Zero Framework as an amendment to MARPOL Annex VI.
- Washington has issued an explicit ultimatum rejecting the plan and threatening tariffs, visa restrictions, added port fees, investigations, and possible vessel blocks for countries that back it.
- The proposal combines a declining fuel‑carbon standard with pricing that charges up to $380 per ton of CO2e to reach base compliance and $100 per ton to meet stricter targets, applying mainly to ships over 5,000 GT.
- Supporters include the EU, China, the UK, Brazil, India, and Japan, oil‑producing states such as Saudi Arabia, Russia, and the UAE oppose it, and some Pacific nations that abstained in April are now expected to vote yes.
- The system is projected to raise about $11–13 billion annually for an IMO fund starting in 2028 after entry into force in 2027, though NGOs warn the design could steer operators toward food‑crop biofuels and raise equity concerns for developing states.