By Eva Richardson | The Logistic News | March 25, 2025
The global shipping industry, long considered one of the most difficult sectors to decarbonise, is approaching a pivotal moment. Once viewed as a slow mover in the fight against climate change, maritime transport is now under mounting pressure to transform. With international regulations tightening, green investment flowing, and innovative technologies maturing, 2025 may mark the year the shipping world stops drifting and begins sailing steadily toward sustainability.
A Hard-to-Abate Sector Faces a Hard Deadline
Shipping is responsible for around 3% of global greenhouse gas emissions—more than the entire aviation industry. Yet for decades, it remained largely absent from climate discussions. The sector’s complexity, reliance on fossil fuels, and fragmented regulatory landscape made deep emissions cuts seem out of reach.
That’s beginning to change. The International Maritime Organization (IMO) has adopted revised targets aiming for net-zero emissions by 2050, with a clear push for reducing emissions intensity by 40% by 2030. These targets, while still voluntary in nature, are triggering ripple effects across the global supply chain, forcing shipowners, cargo shippers, and financiers to rethink their roles.
The Cost of Inaction is Rising
Pressure isn’t just coming from regulators. Global shippers—especially consumer brands facing Scope 3 emissions scrutiny—are demanding cleaner freight options. Meanwhile, ports in Europe and Asia are rolling out low-emission requirements, and financial institutions are adjusting lending terms based on environmental performance.
At the same time, carbon pricing mechanisms such as the EU Emissions Trading System, now extended to cover shipping, are raising the cost of high-emission voyages. The message is clear: decarbonisation is no longer optional—it’s a matter of survival.
New Fuels, New Challenges
Alternative fuels are at the heart of this transition. Green ammonia, methanol, hydrogen, and biofuels are gaining traction, but all face major challenges. Infrastructure remains scarce, safety concerns linger, and production is still expensive.
Yet progress is undeniable. As of early 2025, over 1,200 dual-fuel ships have been ordered or are under construction globally. Major players like Maersk, CMA CGM, and Hapag-Lloyd are investing billions in vessels powered by methanol and other low-carbon alternatives. Simultaneously, port hubs like Singapore, Rotterdam, and Los Angeles are ramping up efforts to become green fuel bunkering centers.
Innovation in Efficiency
While fuels dominate headlines, efficiency remains a vital piece of the puzzle. Wind-assisted propulsion, air lubrication systems, and AI-based route optimisation are being tested or deployed across fleets. These technologies, often overlooked in grand decarbonisation strategies, could reduce fuel consumption by up to 30%—a crucial step as cleaner fuels remain costly.
Digitalisation also plays a growing role. Real-time data sharing between ports and carriers helps reduce congestion and idle time, further trimming emissions. As the digital twin concept gains momentum, ships can be monitored and operated more precisely than ever before.
Financing the Transition
Money remains one of the biggest hurdles—and catalysts. According to recent estimates, the global shipping sector will need over $3 trillion in green investment by 2050 to meet decarbonisation goals.
But momentum is building. The Poseidon Principles, a framework linking ship finance to climate alignment, now cover over 50% of global maritime lending. Additionally, green bonds and sustainability-linked loans are emerging as preferred instruments for retrofitting existing fleets or building next-generation ships.
Looking Ahead: Collaboration is Non-Negotiable
No single company, port, or government can decarbonise shipping alone. The solution lies in coordinated action across the supply chain. Strategic partnerships, shared standards, and cross-border innovation must become the norm rather than the exception.
Initiatives like the Green Shipping Challenge launched at COP27, and coalitions such as the Getting to Zero Coalition, are already fostering this collaboration. But real transformation will depend on enforcement, accountability, and a shared vision that prioritises long-term climate stability over short-term gain.
Final Thought
Decarbonising the maritime sector was once seen as a far-off ambition. Today, it is a business imperative—and a race against time. The good news? The shipping industry is finally picking up speed.
2025 could be remembered as the year maritime decarbonisation moved from rhetoric to reality. But only if the winds of innovation, investment, and international will continue to blow in the same direction.
Eva Richardson
Senior Correspondent, The Logistic News