Global Shipping Emissions Drop 1.3 Percent in 2025

Increased biofuel use and slower sailing speeds keep the maritime sector on track for 2030 carbon-intensity targets.

Updated on Oct. 30, 2026 in Environmental

Global Shipping Emissions Drop 1.3 Percent in 2025

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Is the global shipping industry making enough progress to meet its carbon reduction goals?

The International Maritime Organization (IMO) Data Collection System reported a 1.3% reduction in global shipping CO2 emissions for 2025 despite a 2% increase in vessel capacity and 1% more distance sailed. The reported decline in average per-vessel emissions is based on verified operational data from the 2025 calendar year.

Why it matters

The shipping sector's shift toward lower sailing speeds and higher biofuel adoption highlights how operational adjustments are currently outpacing infrastructure changes. These efficiency gains keep the industry on track to meet the 2030 carbon-intensity target.

Global annual fuel consumption reached 221 million tonnes in 2025, with alternative fuels now accounting for 9.5% of total energy demand. This marks an increase from 5.9% in 2019, supported by 2.5 million tonnes of biofuel usage.

The players

International Maritime Organization

A United Nations specialized agency responsible for the safety and security of shipping and the prevention of marine and atmospheric pollution by ships.

The details

Operators achieved lower emissions primarily by reducing sailing speeds and integrating biofuels, a plant or waste-derived fuel, into their energy mix. Reporting compliance improved as operators familiarized themselves with the Carbon Intensity Indicator (CII) — a numerical rating system that measures how efficiently a ship transports goods. While overall efficiency rose, the sector faced headwinds as geopolitical conflicts forced greater reliance on LNG carriers, which saw a 1.6% decline in CII compliance.

Timeline

  1. 2008: Baseline year for Annual Efficiency Ratio (AER) measurements.

  2. 2019: Alternative fuels comprised 5.9% of total shipping energy demand.

  3. 2025: Reporting year for finalized emissions and fuel data.

  4. 30 November to 3 December 2026: MEPC 85 session to evaluate this 2025 data.

  5. 4 December 2026: Extraordinary session regarding the IMO Net-Zero Framework.

The Tech Race

The industry is currently pacing itself against the IMO 40% carbon-intensity reduction target for 2030. Achieving this goal requires balancing increased vessel capacity against the adoption of alternative fuels and speed management.

The shipping sector's reliance on lower sailing speeds and biofuels means supply chains may face longer transit times as operators prioritize efficiency to maintain CII compliance. These operational shifts affect logistics costs and cargo scheduling for global importers and exporters relying on maritime transit.

The takeaway

While the industry is narrowing its carbon intensity, the future depends on how it manages the efficiency trade-offs caused by geopolitical supply chain disruptions. Stakeholders should track the outcome of the 4 December 2026 Net-Zero Framework session to understand future regulatory stringency.

What happens next

The MEPC 85 session scheduled for 30 November to 3 December 2026 will formally evaluate the 2025 emissions data, followed by an extraordinary session on 4 December 2026 to discuss the Net-Zero Framework.

Further reading

Learn more about the latest developments in the Environmental sector.

Source note: This article includes information reported by Hellenic Shipping News.

Live Poll

Is the global shipping industry making enough progress to meet its carbon reduction goals?