5th April 2025 – 11th April 2025
LOCAL NEWS
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INTERNATIONAL NEWS
1. MEPC 83: Global GHG Pricing Mechanism Approved Following Rare Vote
The Marine Environment Protection Committee (MEPC) convened for its 83rd session at IMO Headquarters in London from 7 to 11 April 2025.
On Friday, 11 April 2025, MEPC delegates approved a proposal to establish a global two tier pricing mechanism for greenhouse gas (GHG) emissions from international shipping. The decision was reached through a rare majority vote, highlighting significant divisions among IMO member states.
A total of 63 delegations, including those from the European Union, China, Brazil, the United Kingdom and Canada, voted in favor of the proposal. Meanwhile, 16 countries led by Saudi Arabia and including Qatar, Oman, and Russia voted against. The vote was called by Saudi Arabia following the inability of a dedicated working group to reach consensus on a compromise solution.
More than 20 countries, including several Pacific Island States, long-standing supporters of a global shipping levy, chose to abstain. The United States, which did not participate in the discussions, submitted a letter expressing strong opposition to the mechanism and warning of potential retaliatory measures should the proposal be implemented. The U.S. delegation did not participate in the vote.
The amendments are due for adoption at an extraordinary MEPC session in October 2025. Adoption requires acceptance by two-thirds of the parties to MARPOL Annex VI representing at least 50% of the gross tonnage of the world’s merchant fleet
Currently, MARPOL Annex VI has 108 Parties, covering 97% of the world’s merchant shipping fleet by tonnage.
Key Elements of the Approved IMO Net-Zero Framework:
IMO GHG Fuel Intensity (GFI) Registry Account (by 1 October 2027)
- Ships of 5,000 GT and above must register with the IMO GHG Fuel Intensity (GFI) Registry and pay an annual administrative fee starting in 2028.
Ship Energy Efficiency Management Plans (SEEMP) Amendments (by 1 January 2028)
- SEEMP must be updated to include the methodology for data collection and reporting under the new GFI framework.
Annual GFI Reporting (from 2029)
- Ships must calculate their attained GFI and demonstrate compliance with a dual-target system:
- A 4% baseline reduction target, and
- A 17% direct compliance target by 2028.
These thresholds will increase annually, aiming to reach:
- A 30% baseline reduction, and
- A 43% direct compliance target by 2035.
Compliance Mechanism
Ships that meet or exceed targets may receive surplus units, valid for two years. These can be transferred to other ships, banked for future use, or voluntarily cancelled.
Non-Compliance (Deficit Cases):
- Tier 1 Deficit: Can be offset by contributing to the IMO Net-Zero Fund at a fixed rate of US$100 per tonne of CO₂eq (valid until 2030).
- Tier 2 Deficit: Must be balanced using surplus units or by contributing at a higher rate of US$380 per tonne of CO₂eq (valid until 2030).
Data Reporting and Verification
Annual GFI data must be submitted to the ship’s Flag Administration or Recognized Organization (RO) by 31 March of the following year. Verified data must be forwarded to the IMO GFI Registry by 30 June.
Sustainable Fuels and Zero/Near-Zero Technologies
Only fuels certified under a Sustainable Fuel Certification Scheme (SFCS) – to be published by 1 March 2027 – will qualify for compliance purposes. Ships operating beyond required thresholds may bank or pool surplus units and will be eligible to receive credits or incentives. LNG as an intermediary solution fuel has not been included in the scheme.
Additionally, the establishment of an IMO Net-Zero Fund is included in the proposal. This fund will:
- Incentivize the adoption of zero or near-zero (ZNZ) fuels and technologies, and
- Support a just and equitable transition for developing nations.
Biofuel Carriage by Conventional Bunker Ships
New interim guidance permits bunker ships to carry biofuel blends up to 30% by volume without requiring changes to the IOPP Certificate, provided all residues and tank washings are discharged ashore or the ship is equipped with appropriate ODME approval.
Onboard carbon capture (OCCS)
A work plan on the development of a regulatory framework for the use of OCCS was agreed. The work plan will address both ship and land considerations pertaining to OCCS, taking into account their incorporation into existing and future regulatory frameworks such as the EEDI. The work is set to be finalized in 2028.
A Correspondence Group was established to develop the OCCS framework, reporting to MEPC 84 in spring 2026.
Other key decision of MEPC 83:
Carriage of biofuel blends on bunker ships
An interim circular was approved allowing conventional bunker ships, certified as oil tankers under MARPOL Annex I, to carry biofuel blends containing up to 30% biofuel.
In-water cleaning of ship biofouling
A circular was approved providing guidance on matters relating to in-water cleaning of ships in line with the 2023 Biofouling Guidelines.
Guidelines on Selective Catalytic Reduction (SCR) systems
The 2025 SCR Guidelines, aiming to remove ambiguities and ensure consistent application, were adopted. They apply to SCR systems installed on ships which are keel-laid on or after 1 November 2025, or to ships with keels laid before that date if the SCR system has a contractual delivery date on or after 1 May 2026 or, in the absence of a contractual delivery date, the actual delivery of the SCR system to the ship takes place on or after 1 May 2026.
Guidelines for the development of the Inventory of Hazardous Materials (IHM)
Amendments the 2023 IHM Guidelines were adopted clarifying the relevant threshold for cybutryne contained in antifouling systems when samples are taken directly from the hull or from wet paint containers.
Marine plastic litter
MEPC 83 adopted the 2025 Action Plan to Address Marine Plastic Litter from Ships, including the new action on reducing the environmental risks of transporting plastic pellets at sea.
Identification and protection of special areas
North-East Atlantic ECA
The North-East Atlantic was approved as an Emission Control Area (ECA) for SOx, PM and NOx, with a view to adoption at the extraordinary MEPC session in October 2025. This ECA covers the Exclusive Economic Zones (EEZ) and territorial seas of Greenland, Iceland, the Faroe Islands, Ireland, the United Kingdom, France, Spain and Portugal. Entry into force is expected to be in 2027, with the 0.10% sulphur limit taking effect 12 months later. The requirement for NOx Tier III engine certification will apply to ships contracted on or after 1 January 2027, or in the absence of a building contract, constructed (keel-laid) on or after 1 July 2027, or delivered on or after 1 January 2031. Note that these dates may be subject to change upon the formal adoption of the MARPOL amendments.
Particularly Sensitive Sea Areas (PSSAs)
MEPC 83 agreed in principle to the designation of the Nasca Ridge National Reserve and the Grau Tropical Sea National Reserve off the coast of Peru as PSSAs, subject to further development and approval of the proposed associated protective measures such as prohibitions on discharges and on the dumping of pollutants, waste and ballast water in these areas
Our Union will monitor this matter and keep you updated on any further developments.
Related Articles:
Attachment 1: RINA 11/04 – Information Notice N. 231 Main Decisions of MEPC 83
IMO 07/04 - IMO opens global talks to secure net-zero deal for shipping
Safety4Sea 07/04 - MEPC 83: The curtain has risen and the play has begun
Ship and Bunker 09/04 - US Skips IMO's MEPC 83 Meeting and warns against GHG Deal
Ναυτικά Χρονικά 09/04 - MEPC 83: Στον αέρα η πρόταση για ένα παγκόσμιο levy άνθρακα
Safety4Sea 09/04 - US delegation withdraws from MEPC 83
Ship and Bunker 10/04 - MEPC 83 GHG talks on track to deliver draft text by Friday
Safety4Sea 10/04 - Nautilus: IMO member states must commit to MEPC 83 negotiations
Safety4Sea 11/04 - IMO MEPC 83 approves net-zero framework
Bunkerspot 11/04 - Global GHG pricing mechanism approved by MEPC 83 after rare vote
IMO 11/04 - IMO approves net-zero regulations for global shipping
2. FUELEU Maritime: Report on Marine Fuels Certification Procedures
DG Move has recently published a Report on Marine Fuels Certification Procedures. It was developed by the Sustainable Alternative Power for Shipping (SAPS) sub-group of the European Sustainable Shipping Forum (ESSF).
This best-practice document is intended primarily for companies involved in the supply and use of marine fuels, particularly shipping companies relying on renewable and low-carbon fuels to meet FuelEU Maritime and EU ETS requirements. It outlines the key documentation needed for compliance, offering an overview of relevant regulatory frameworks on sustainability, GHG emissions savings, and supply chain traceability – from the sourcing of energy and materials to fuel delivery onboard.
While not legally binding, the report interprets legislative requirements and reflects insights from existing guidance and expert contributions, including those of the ESSF.
Please note that this is NOT an official guidance document of the European Commission. An official document is currently being developed by a consultant and is expected to be published in autumn 2025.
Related Articles:
Report on Marine Fuels Certification Procedures to support implementation of FuelEU Maritime
Intercargo 10/04 - REPORT ON MARINE FUELS CERTIFICATION PROCEDURES
3. US pauses higher tariffs for most countries after market havoc, EU pauses retaliatory tariffs following Trump’s trade U-turn
On the 9th April 2025, President Donald Trump announced a 90-day pause for countries hit by higher US tariffs but a trade war with China has escalated.
In a dramatic change of policy, just hours after levies against roughly 60 of America's trading partners kicked in, Trump said he was authorising a universal "lowered reciprocal tariff of 10%" as negotiations continued.
At the same time he increased tariffs on goods from China to 125%, accusing Beijing of a "lack of respect" after it retaliated by saying it would impose tariffs of 84% on US imports.
The announced pause only applies to some of the new tariffs - taxes on imports - that Donald Trump announced on 2 April. The new minimum 10% tariff rate, which came into effect on Saturday 5 April, is still in place for goods coming from all countries.
But that 10% tariff in itself is a major change in America's trading relations with all other countries. And for China, the rate will not fall at all but will be hiked further to 125%, plus another 20% linked to the drug fentanyl.
Nevertheless, the pause means the rates above 10% for 59 other territories will be suspended until July 2025. That includes 46% on Vietnam, 44% on Sri Lanka and 20% on the European Union.
The president of the European Commission, Ursula von der Leyen, said the EU would put on hold for 90 days the countermeasures – 25% tariffs on €21bn (£18bn) of US goods – that it had agreed on Wednesday, 9th April 2025. “We want to give negotiations a chance,” she said. “If negotiations are not satisfactory, our countermeasures will kick in.”
In an earlier statement that did not mention the EU countermeasures, von der Leyen had welcomed the US president’s 90-day pause on his highest tariffs, as she reiterated that the EU was ready to negotiate a trade deal with the US.
According to many economists even after the pause, this all represents a major shift in US trade policy, which will harm the global economy.
And the intensification of the US trade war with China on top of this is expected to do further damage.
China and the US between them were projected to account for around 43% of the global economy by the International Monetary Fund in 2025.
A slowdown in both economies as a result of the trade conflict will have a knock-on negative effect on most other countries.
And economists caution that the impact of the additional uncertainty created by Trump's pause will in itself further undermine the world economy by holding back corporate investment.
However, across Asian and European nations that are key manufacturing partners, the fluid situation is leading importers to rethink decisions that were the correct one just a day ago.
“We started seeing a ton of bookings cancel at origin over the ocean as early as last week and as we got closer to the tariff date on April 9 we saw more cancellations,” said Paul Brashier, vice president of global supply chain for ITS Logistics. “But with this recent announcement on the pause on tariffs with the exception of China, we may have orders re-booked from those regions.”
Andrew Abbott, CEO of Atlantic Container Line, which serves the Europe/North American trade, said that freight “holds” as a result of the tariffs have now been released and bookings have skyrocketed as a result of the tariff pause.
“We are expecting a surge of freight during this pause,” Abbott said. “We are seeing order in everything from construction equipment, engines, truck parts, dinnerware, cranes, agriculture equipment and booze among a lot others. The ships are filling up.”
Other logistics providers told CNBC they are seeing a similar rush.
Related Articles:
BBC 10/04 - US pauses higher tariffs for most countries but hits China harder
Euronews 09/04 - Donald Trump authorises 90-day pause in tariffs on most countries except China
BBC 11/04 - What does Trump's tariff pause mean for global trade?
CNBC 09/04 - Tariffs: Trump pauses tariffs for most countries, hits China harder
The Guardian 09/04 - EU suspends retaliatory 25% tariffs on US goods after Trump U-turn
Politico 11/04 - Macron says Trump tariff suspension is ‘fragile’
Politico 10/04 - EU delays metal tariffs retaliation as Trump targets China
CNBC 10/04 - Freight surges on Trump tariffs trade whipsaw: 'Ships are filling up'
CNBC 09/04 - Trump tariffs: Port pileup coming as cash-short CEOs reject orders
4. Trump signs executive order to boost US shipbuilding, planning to ‘spend a lot of money’
On Wednesday, 9th April 2025, U.S. President Donald Trump signed an executive order aimed at reviving U.S. shipbuilding and reducing China's grip on the global shipping industry, vowing to boost funding for the effort in coming years.
He said the US will be “spending a lot of money” on the sector before signing the order that requires federal officials to create an action plan to create “sustained resiliency” for the maritime industry.
The Oval Office signing ceremony ended several weeks of suspense over the order after a previous draft, making the rounds in Washington, was pulled back.
“We’re way, way, way behind,” Trump said of the US shipbuilding sector. “We used to build a ship a day. And now we don’t do a ship a year, practically. We have the capacity to do it.”
Republican and Democratic U.S. lawmakers for years have warned about China's growing dominance on the seas and diminishing U.S. naval readiness.
The Order includes a “number of significant policy steps” aimed at restoring American dominance in shipbuilding and shipping.
The order directs the U.S. Trade Representative (USTR) to move ahead with a proposal that included levying million-dollar U.S. port docking fees on any ship that is part of a fleet that includes Chinese-built or Chinese-flagged vessels. Allies will be pushed to act similarly.
USTR's recommended port fees had sparked sharp criticism from commodities exporters, trade groups and U.S. ship operators, who warned of supply chain disruptions, job losses in port cities and inflation. The order must be finalized by an April 17 deadline.
U.S. Trade Representative Jamieson Greer said USTR should have a final decision on remedies by middle of the month reiterating that not all of the measures outlined by the agency's original proposal would be implemented.
The executive order further requires the Department of Homeland Security to enforce collection of Harbor Maintenance Fees and other charges, and to prevent cargo carriers from circumventing those fees by routing goods to ports in Mexico and Canada and then sending cargo into the United States via land borders.
Trump's order called for creation of a Maritime Security Trust Fund to provide reliable funding for programs aimed at shoring up U.S. maritime capacity, including consideration of potential new or existing tariff revenue, fines, fees, or tax revenue.
It also calls for incentives to encourage private investment in construction of commercial components, and improvements to shipyards, repair facilities and dry docks.
Related Articles:
The White House 09/04 - Restoring America's Maritime Dominance
Reuters 10/04 - Trump signs executive order seeking to revitalize US shipbuilding
Attachment 2: TradeWinds 09/04 - Trump signs executive order to boost US shipbuilding, planning to ‘spend a lot of money’
Splash247 10/04 - Trump signs Make Shipbuilding Great Again executive order
Safety4Sea 10/04 - Trump signs Executive Order seeking to revive U.S. shipbuilding
5. US TREASURY REPORT
The US Treasury Report for all actions reported is hereby attached.
Related Article:
Attachment 3: US Treasury Report for week 05/04/2025 – 11/04/2025
6. PIRACY REPORT
The Piracy Report for all actions reported is hereby attached.
Related Article:
Attachment 4: Worldwide Threat to Shipping (WTS) Report, for the period between 12/03/2025 – 09/04/2025
Nothing important to report from the Local News, ILO and the House of Representatives.