Essence of the submission
Saudi Arabia and the United Arab Emirates submitted a joint statement to the International Maritime Organization (IMO) and requested a review of the IMO Net-Zero Framework (NZF) draft. In their view, the current structure of the mechanisms could create a disproportionate burden on long-haul routes and economies that are highly dependent on international trade.
The initiative was submitted ahead of the session of the Intersessional Working Group on Reduction of GHG Emissions from Ships (ISWG-GHG), scheduled for September 1–4.
Key arguments of the countries
- Instead of an even distribution of costs across routes, cargo types, and countries, the framework introduces a single pricing mechanism for mandatory compliance units and corrective units.
- The countries emphasized that the freight market responds differently: when there is excess fleet capacity, costs may be passed on to shipowners and supply chains more quickly, while under capacity shortages, increases in transport costs are intensified by speed reduction and reduced effective throughput practices.
- In their assessment, the system effectively becomes a distance-based cost: the longer the route and the higher fuel consumption, the higher the compliance costs.
- As a result, long-distance routes and remote economies are expected to face significantly higher costs than regions closer to major markets.
IMO process context
In April 2025, MEPC 83 approved draft amendments to MARPOL Annex VI with new Chapter 5, through which NZF is being introduced to accelerate greenhouse gas emission reduction in international shipping and support the goals of the IMO 2023 Emissions Reduction Strategy.
However, at the MEPC extraordinary session in October 2025, in the attempt to formally adopt the revised amendments, member states were unable to reach consensus. The committee decided to postpone consideration of the decision for one year to continue negotiations on medium-term emission-reduction measures.
The countries' request
On this basis, Saudi Arabia and the UAE asked the IMO not to advance NZF in its current text and to consider alternative approaches that, in their view, more fairly distribute the economic impacts among participants in global shipping and global trade.
Published: 2026-08-04T09:07:17+00:00.