US pressure and Saudi Arabia’s successful motion to adjourn IMO talks on the controversial framework appears to have scuppered a deal that took a decade to negotiate, despite backing from over a hundred countries
The International Maritime Organisation’s landmark Net-Zero Framework (NZF) has collapsed in dramatic fashion, leaving the fresh produce shipping industry to face further uncertainty over the adoption of new global emission standards.
In a dramatic development on Friday 17 October, Saudi Arabia tabled a motion to adjourn talks on the controversial NZF for a year, effectively terminating a deal that had taken a decade to negotiate.
The motion passed by just a handful of votes, despite backing from more than a hundred countries and major trading blocs.
The outcome represents a stunning reversal following the framework’s approval in April, when shipping was poised to become the world’s first industry with internationally mandated emissions reduction targets.
Under the original deal, ship operators would have faced increasingly stringent fuel requirements from 2028 onwards, with non-compliance triggering financial penalties.
But in recent weeks, the US administration made clear it viewed the framework as a “green scam”, and in August it threatened tariffs against nations voting in favour of NZF.
Secretary of State Marco Rubio declared the collapse “a huge win” for the administration, which had argued the measures would inflate consumer prices.
For fresh produce shippers already grappling with supply chain volatility and rising costs, the collapse adds further uncertainty.
Thomas Kazakos, secretary-general of the International Chamber of Shipping, captured the industry’s frustration.
“We are disappointed that member states have not been able to agree a way forward at this meeting,” he stated. “Industry needs clarity to be able to make the investments.”
Without the framework’s uniform global standards, shipping companies face a patchwork of regional regulations and continued uncertainty over fuel choices and capital investments.
