Joint Statement by Secretary of State Rubio, Secretary of Energy Wright, and Secretary of Transportation Duffy
President Trump has made it clear that the United States will not accept any international environmental agreement that unduly or unfairly burdens the United States or harms the interests of the American people. Next week, members of the IMO will vote on the adoption of a so-called NZF aimed at reducing global carbon dioxide gas emissions from the international shipping sector. This will be the first time that a UN organization levies a global carbon tax on the world.
The Administration unequivocally rejects this proposal before the IMO and will not tolerate any action that increases costs for our citizens, energy providers, shipping companies and their customers, or tourists. The economic impacts from this measure could be disastrous, with some estimates forecasting global shipping costs increasing as much as 10% or more. We ask you to join us in rejecting adoption of the NZF at the October meeting and to work together on our collective economic and energy security.
The NZF proposal poses significant risks to the global economy and subjects not just Americans, but all IMO member states to an unsanctioned global tax regime that levies punitive and regressive financial penalties, which could be avoided. The United States is considering the following actions against nations that support this global carbon tax on American consumers:
- Pursuing investigations and considering potential regulations to combat anti-competitive practices from certain flagged countries and potential blocking vessels registered in those countries from U.S. ports;
- Imposing visa restrictions including an increase in fees and processing, mandatory re-interview requirements and/or revisions of quotas for C-1/D maritime crew member visas;
- Imposing commercial penalties stemming from U.S. government contracts including new commercial ships, liquified natural gas terminals and infrastructure, and/or other financial penalties on ships flagged under nations in favor of the NZF;
- Imposing additional port fees on ships owned, operated, or flagged by countries supporting the framework; and
- Evaluating sanctions on officials sponsoring activist-driven climate policies that would burden American consumers, among other measures under consideration.
The United States will be moving to levy these remedies against nations that sponsor this European-led neocolonial export of global climate regulations. We will fight hard to protect our economic interests by imposing costs on countries if they support the NZF. Our fellow IMO members should be on notice.
