5 Years to Go: the IMO’s 2030 Carbon Emissions Reduction Target

With the International Maritime Organization (IMO) aiming for a 20% reduction in shipping carbon emissions by 2030, the maritime industry faces significant challenges and opportunities. It’s estimated that shipping could represent around 10% of global greenhouse gas emissions by 2050, so decarbonising has become a particular focus for the industry. 

While the IMO is currently aiming for a 20% reduction in shipping carbon emissions by 2030, its ultimate aim is to hit net zero by 2050. These targets will force the sector to reconsider shipping methods and fuel types, and have ignited greater debate towards a greener maritime industry. 

Current Efforts and Initiatives

One major effort made to reduce carbon emissions, was the European Union’s FuelEU Maritime Regulation, introduced 1^st January, 2025. It calls for the gradual decrease in the greenhouse gas intensity of fuels used by larger ships stopping at EU ports. Its aim is to reduce the use of greenhouse gases by 80% by 2050. 

Additionally, ‘green shipping corridors’ are specific trade routes between ports, prioritising low to zero-emission vessels. They have become increasingly popular in efforts to reduce carbon emissions, and have subsequently encouraged a greater investment in cleaner shipping practices and alternative fuel sources. 

Perhaps most significantly, in a landmark decision, the IMO approved a global carbon levy on shipping emissions which will be introduced in 2027. This levy imposes a $100 fee per tonne of CO₂ emitted beyond set thresholds, aiming to encourage organisations to find alternative fuels, and prioritise green shipping. 

Challenges Ahead

Transitioning to alternative fuels like ammonia, methanol, and hydrogen presents technical and economic challenges as they are less widely used, and therefore may have safety implications. Until these alternative fuels become standardised, there is also an issue of availability, as ports must be able to supply the correct fuel for ships to refuel.

The United States also recently changed their stance on decarbonising shipping, which has also introduced uncertainties internationally. Their withdrawal from global climate negotiations and opposition to measures like the IMO’s carbon levy could affect international commitments to decarbonisation policies.

Outlook Toward 2030

While there have been many efforts made to reduce carbon emissions in shipping, path to achieving the IMO’s target to reduce emissions by 20% by 2030 proves challenging. The industry has introduced successful regulations such as FuelEU Maritime, and its projects such as green corridors and a carbon levy have had positive impacts in renewing investment in greener shipping fuels and techniques. However, technical and economic challenges still pose barriers to progress. Furthermore, until there is an international commitment to a greener approach to the maritime shipping industry, it is difficult to enact large scale change.

Until alternative ‘greener’ fuels become standardised and stocked globally, it will be difficult for ships to run exclusively on decarbonised alternatives. However, the industry has already made large steps towards reducing its emissions, and even if the IMO target is not achieved, there have still been huge advances in emission reductions. 

As the industry navigates these complexities, the next five years will be instrumental in determining the effectiveness of global efforts to decarbonise maritime shipping and meet the IMO’s ambitious targets.