Shipping Giants Forge Ahead with Green Investments Despite Carbon Price Collapse

Despite a collapse of talks over a global carbon price in the shipping industry, most major players continue with their investments in emission-reducing fuels and vessels, according to Reuters analysis of data and interviews with shipping firms, ship brokers, bunker suppliers, and marine technology providers.  

Last year, the United Nations agency, the International Maritime Organization (IMO), discussed for months a proposed adoption of the so-called Net-Zero Framework, initially proposed in 2023. The framework includes a global fuel standard and a pricing mechanism for global greenhouse gas emissions.   

The IMO has estimated that shipping emissions—about 3% of the global total—could surge by as much as 150% by mid-century without action.

But at the end of 2025, the talks collapsed, as the U.S. and Saudi Arabia, the biggest oil producers in the world, managed to get enough support to postpone the decision on a carbon price by one year. 

The shipping industry, which accounts for about 3% of global greenhouse gas emissions, has not changed course despite the lack of a global framework on emissions reduction. 

In fact, Reuters interviews with companies operating and servicing the sector show that most of these go ahead with their plans to either use additional volumes of fuels alternative to the fuel oil, or order ships that can run both on fuel oil and cleaner-fuel alternatives such as LNG, methanol, and ammonia.  

Despite the lack of global regulations, regional emission rules, such as the EU’s FuelEU Maritime regulation, are prompting many shipping industry players to continue investments in greener alternatives to be ready for the regulatory framework in the long term.    

“The case for low-carbon fuels such as ammonia and methanol is still alive if you have a trade concentrated around Europe,” Kenneth Tveter, Global Head of Green Transition and LCO2 Shipping at ship broker Clarksons, told Reuters.   

By Michael Kern for Oilprice.com

More Top Reads From Oilprice.com

 

  • Related Posts

    IEA Slashes Oil Demand Growth Forecast For 2026

    Global oil demand is expected to rise by 850,000 barrels per day this year, the International Energy Agency (IEA) said on Thursday as it cut its growth estimate from 930,000…

    Norway’s Oil Investments Set to Drop from 2025 High

    Energy firms operating offshore Norway expect investments in oil and gas activities to be lower this year compared to 2025 as many field developments are being largely completed, Statistics Norway’s…

    Have You Seen?

    Norway’s Oil Investments Set to Drop from 2025 High

    • February 12, 2026
    Norway’s Oil Investments Set to Drop from 2025 High

    IEA Slashes Oil Demand Growth Forecast For 2026

    • February 12, 2026
    IEA Slashes Oil Demand Growth Forecast For 2026

    Shipping Giants Forge Ahead with Green Investments Despite Carbon Price Collapse

    • February 12, 2026
    Shipping Giants Forge Ahead with Green Investments Despite Carbon Price Collapse

    Global Exploration Signaling ‘Early Recovery’

    • February 12, 2026
    Global Exploration Signaling ‘Early Recovery’

    Chemical pathway could cut hydrogen import costs, study finds

    • February 12, 2026
    Chemical pathway could cut hydrogen import costs, study finds

    France President calls for “new scale and speed” in industrial push

    • February 12, 2026
    France President calls for “new scale and speed” in industrial push

    FedEx fuels planes with blended SAF at five US airports

    • February 12, 2026
    FedEx fuels planes with blended SAF at five US airports

    Oil Prices Edge Lower as IEA Reduces Demand Forecast

    • February 12, 2026
    Oil Prices Edge Lower as IEA Reduces Demand Forecast

    EU Industry Chiefs Demand Lower Energy Prices

    • February 12, 2026
    EU Industry Chiefs Demand Lower Energy Prices

    Europe Gets Rare LNG Cargo from China Amid Gas Crunch

    • February 12, 2026
    Europe Gets Rare LNG Cargo from China Amid Gas Crunch