The European Union (EU) has reiterated its support for the International Maritime Organization’s (IMO) proposed Net-Zero Framework (NZF) to decarbonise global shipping, setting the stage for a tense vote this week amid U.S. threats of trade retaliation [1][2].

The framework, scheduled for a vote at the IMO’s extraordinary session from 14–17 October, would establish a global carbon-pricing mechanism targeting the shipping sector. It combines stricter marine fuel-intensity standards with a compliance system that channels revenues into an IMO Net-Zero Fund to support low-carbon innovation, infrastructure, and transition initiatives [1]. The plan aims to bring the industry to net-zero emissions by around mid-century [2].

Washington has fiercely opposed the proposal. In a joint statement, U.S. Secretary of State Marco Rubio, Secretary of Energy Chris Wright, and Secretary of Transportation Sean Duffy warned that the framework represents “an unsanctioned global tax regime” and could raise global shipping costs by 10% or more [1][2]. The Trump administration also threatened a series of countermeasures, including investigations into anti-competitive practices, restrictions on vessels from supporting nations entering U.S. ports, and visa and commercial penalties targeting those nations [1].

“The United States will be moving to levy these remedies against nations that sponsor this European-led neocolonial export of global climate regulations,” the statement read [1][2].

Despite U.S. opposition, the European Commission maintained its commitment to the NZF, describing it as “a significant milestone” and urging member states to vote for adoption [1][2]. The EU’s Directorate-General for Mobility and Transport reaffirmed its belief that global action is essential to ensure a “level playing field” for the shipping sector [1].

The shipping industry itself has largely rallied behind the framework. Leading maritime associations, including those representing more than 80% of the global merchant fleet, have called on governments to adopt the proposal, warning that without global coordination, the sector risks a patchwork of national regulations that could raise costs without effectively reducing emissions [1].

If approved, the Net-Zero Framework would apply to ships above 5,000 gross tons, covering about 85% of international shipping emissions, and is expected to enter into force in 2027 [1][2]. Industry leaders have called the upcoming vote a “historic opportunity” to create enforceable, worldwide rules that accelerate the sector’s transition to cleaner fuels while maintaining fair competition [1].

References
[1] gCaptain. EU Backs Shipping’s Net-Zero Framework as U.S. Threatens Trade Retaliation Ahead of Historic Vote. https://gcaptain.com/eu-backs-shippings-net-zero-framework-as-u-s-threatens-trade-retaliation-ahead-of-historic-vote/
[2] Bloomberg. US and EU Spar Ahead of Vote to Cut Global Shipping Emissions. https://www.bloomberg.com/news/articles/2025-10-13/us-and-eu-spar-ahead-of-vote-to-cut-global-shipping-emissions