Last week, maritime's efforts toward reaching zero greenhouse gas (GHG) emissions took a significant setback as the International Maritime Organization Marine Environment Protection Committee (MEPC) failed to approve their long-anticipated Net Zero Framework (NZF).
MEPC Extraordinary Session Adjourns Without NZF Approval
At its extraordinary session held October 14-17, 2025, the MEPC failed to formally approve the NZF -- a mandatory scheme combining fuel standards and greenhouse gas (GHG) emissions pricing for ships over 5,000 gross tonnage. Text of the framework had already been approved at MEPC 83 in April 2025 with plans aimed at reaching net-zero emissions by or around 2050 per the 2023 IMO GHG Strategy; instead delegates voted postponing adoption until October 2026 due to lack of consensus.,,,,2026 as being postponed due to lack of consensus,,,,,,,,,, by 2050 per the 2023 IMO GHG Strategy 2023-2050 Target was intended. Delegates instead voted postpone adoption until October 2026 due to lack of consensus citing lack of consensus, work will start underway to develop them through IWG GHG Emissions from Ships.[1, 3, 4, 5, 6
U.S. Leads Opposition with Threats of Retaliation
The United States played an instrumental role in derailing the NZF, signaling their opposition as early as April 9 by withdrawing from MEPC 83 and issuing statements warning of reciprocal trade, port, and other restrictions against nations supporting its implementation, culminating in an August 12 joint statement - reflecting wider policies to safeguard domestic industries against international environmental regulations.
Industry observers note the U.S.'s position mirrors approaches taken by other industries, like aviation, in using disputes to gain bilateral trade advantages. Threats posed by the US had created uncertainty that undermined prior agreement on the NZF Agreement which includes tiered GHG fuel intensity targets.
Implications for Regional Regulations and Industry
Postponing EU measures, such as the Emissions Trading System (ETS) Directive (EU) 2023/959 and FuelEU Maritime Regulation (EU) 2023/1805, means they remain applicable. They cover shipping GHG emissions and could spark similar national plans elsewhere, leading to an array of regulations.
Stakeholders face great uncertainty as they negotiate with policymakers on IMO negotiations, U.S. leverage tactics, and regional initiatives. Green groups have encouraged government to develop national plans post-COP30 while criticizing any U.S. wrecking tactics used.
Delegates remain optimistic of reaching an amended NZF agreement by 2026; however, delays underline the challenges inherent to aligning global shipping decarbonization efforts.