Major ship operators show small progress on emissions targets: report

Some of the world's largest ship charterers and operators reported improved decarbonization performances in 2025, according to an annual industry report June 11, highlighting more use of biofuels and energy-saving devices amid regulatory uncertainty.

The 32 signatories of Sea Cargo Charter, which together handle 14% of global seaborne wet and dry bulk trades, missed the International Maritime Organization's minimum trajectory for greenhouse gas emissions reduction by 11.6% in 2025.

This is compared with a misalignment of 12.2% in 2024.

The companies' performances were benchmarked against the IMO's targets to reduce lifecycle GHG from international shipping by at least 20% by 2030, 70% by 2040 against 2008 levels before reaching net zero close to 2050.

The 2026 Sea Cargo Charter Annual Disclosure Report reveals that, of the 29 signatories that also reported their 2024 data, 20 reduced their carbon emission intensity in 2025. In comparison, 19 out of 33 that reported 2023 data achieved such cuts in 2024.

"Biofuels currently appear to represent the most mature alternative fuel pathway across the group, while wind-assist technologies are also showing growing momentum," according to the report. "Emerging solutions such as synthetic fuels and onboard carbon capture are in earlier stages of consideration."

The remarks came as IMO member states faced delays in adopting the Net-Zero Framework, originally designed to place a cost on maritime GHG from 2028 to incentivize a low-carbon bunker transition.

April's average delivered bunker prices for 0.5%-sulfur fuel oil were $19/Gigajoule in Singapore, compared with $24/Gj for B24 with 24% used cooking oil methyl ester and 76% 0.5%S fuel oil and $49/Gj for 100% sustainable methanol, according to the Platts bunker cost calculator, which estimates fuel expenses based on Platts assessments from S&P Global Energy.

Challenges

Many signatories reported that operational efficiency measures within their own control, such as speed optimization, weather routing and live performance monitoring, helped them reduce emissions in 2025.

"It is a very positive sign that Sea Cargo Charter signatories did not let their decarbonisation efforts slip," said James Lewis, chair of the Sea Cargo Charter and global head of operations at Cargill Ocean Transportation, one of the signatories. "However, this ability to keep scores stable is not guaranteed in the future.

"Although signatories remain committed to their decarbonisation efforts, the IMO's climate alignment goals will become progressively further out of reach without the tangible incentives and level playing field that a global regulatory framework would deliver," Lewis added.

Launched by ship charterers and operators in October 2020, the Sea Cargo Charter has aimed to enhance the integrity and transparency of shipping emissions data by requiring its signatories to disclose their GHG emissions annually based on a common framework.

Its signatories include TotalEnergies, Trafigura, Louis Dreyfus Co., Maersk Tankers and Navig8, among others.