Regulatory efforts to address the risks posed by lithium-ion battery cargo are gaining momentum in the United States and internationally, with policymakers increasingly focused on cargo that can move through the supply chain without clear identification despite its potential fire hazards.
The latest US initiative comes just weeks after a subcommittee of the International Maritime Organization (IMO) formally agreed to move forward with revisions designed to prevent fires at sea linked to lithium-ion batteries carried in shipping containers.
On 1 October, Rep. Harriet Hageman, R-Wyo., introduced the “Battery Safety Placarding Act”, which would require shipping labels on containers transporting lithium-ion batteries.
According to a draft of the legislation obtained by Seatrade Maritime News, the bill would “require an external placard to be displayed on containers, vehicles, and rail cars transporting lithium-ion batteries, and for other purposes.”
Hageman said visible identification of hazardous materials is essential for those responsible for responding to incidents as well as for the wider public.
“Clear labeling for hazardous material in transit is fundamental for the safety of our law enforcement, first responders, and traveling public,” Hageman said in a press release. She pointed to explosives, flammable liquids and toxic substances as examples of cargo that already require visible placards, arguing that lithium-ion batteries should receive the same treatment given the risks they can present.
The legislation comes as the lithium-ion battery industry continues to expand rapidly. Hageman noted that the market has grown by more than 20% over the past two years to reach $150 billion, with nearly every mode of transportation now involved in moving batteries.
She also highlighted a series of major fires across different transportation modes as evidence of the need to strengthen safeguards surrounding the movement of this cargo.
The call for clearer identification closely mirrors concerns raised by the World Shipping Council (WSC), which has been involved in efforts at the IMO to address a regulatory gap that can allow lithium-ion batteries to move without being identified as dangerous goods.
WSC president and CEO Joe Kramek previously warned that a container can currently carry thousands of lithium batteries while still moving without being declared as dangerous goods. He argued that the exemption allowing batteries contained within electronic devices to be transported was designed to facilitate the movement of individual devices containing small batteries, rather than allowing entire container loads to remain effectively invisible.
Hageman’s office has also clarified the scope of the proposed US legislation. The reference to “freight containers” would cover import ocean containers moving onward to inland destinations in the United States.
Under the proposed rules, the required placard would have to be clearly visible from all sides of the container and identifiable by law enforcement officers and first responders.
The legislation would additionally instruct the US Secretary of Transportation to determine the quantity of lithium-ion batteries that would trigger the placarding requirement. That threshold would be established according to physical characteristics including battery weight and dimensions, as well as energy capacity.
The legislation would also require the approach to take into account the different risk profiles associated with various battery types throughout their transportation lifecycle.
The proposal could create a regulatory challenge for the liner shipping industry if it becomes law. Ocean carriers own a substantial share of the world’s shipping containers and generally favor harmonised global standards rather than a fragmented system of regional requirements.
At the same time, stronger regulatory action in the United States could add pressure on the IMO to move faster with its own reforms governing the transport of lithium-ion batteries.
The growing convergence between US legislative action and international regulatory efforts reflects an increasingly urgent concern across the shipping sector: ensuring that battery cargoes capable of creating serious fires are identified before an incident occurs, rather than after it has already begun.
