The shipping industry's path to net zero has been set back after the International Maritime Organisation failed to adopt binding emissions rules, reports New York's Forbes Magazine.

Delegates had agreed earlier this year on targets to cut greenhouse gases by 8-21 per cent by 2030 and 30-63 per cent by 2035. The package included emissions limits per unit of energy and a global carbon price, with revenues earmarked to support poorer nations. Shipping generates three per cent of global emissions.

In October, lobbying from Washington prompted China and Greece to oppose the plan. US Secretary of State Marco Rubio hailed the delay as a win for the Trump administration. Critics said the setback could allow emissions to rise by 50 per cent by 2050.

Helene Tofte of the Norwegian Shipowners Association said the immediate impact in Europe will be limited, as the EU already enforces strict net zero rules. But she warned prolonged delays could create uncertainty and higher costs for shipping companies.

Industry leaders fear multiple regional standards will complicate compliance compared with a single global framework. Ms Tofte said one set of rules would provide certainty and fairness across markets.

Torbjorn Back, CEO of Swedish battery firm Echandia, said momentum for electrification remains strong, driven by efficiency, safety and cost savings. Regional leadership in Europe, India, Singapore and parts of the US is creating examples others can follow.

Lloyd's List journalist Declan Bush said the failure leaves shipping in "green purgatory." Observers noted the IMO plan's redistributive design was key to helping vulnerable nations. The proposal is expected to be re-presented at the next conference in 2026.