The Guardian: Brazil asks UN to ditch proposed levy on global shipping
Those supporting the deal hope it will raise billions to help poor countries deal with climate breakdown
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Brazil has asked the UN to throw out plans for a new levy on global shipping that would raise funds to fight the climate crisis, despite playing host to the next UN climate summit.The proposed levy on carbon dioxide emissions from shipping will be discussed at a crunch meeting of the International Maritime Organisation (IMO) that begins on Monday. Those supporting the deal, including the UK, the EU and Japan, are hoping the levy will raise billions of dollars a year, which could be used to help poor countries cope with the effects of climate breakdown.
Brazil, China, Saudi Arabia and 12 other countries made a submission to the IMO on 31 January opposing the plans. They argued a levy could reduce exports from the developing world, raise food prices and increase inequalities.
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John Maggs, the Clean Shipping Coalition’s representative at IMO, said: “Brazil is very sensitive, in thinking that because of its exports of large quantities of dry goods, the levy would have a greater impact.”
If there is little sign of agreement, the IMO could force discussions to a point. By longstanding tradition, the organisation tries to seek consensus, but some measures have been forced through in the past despite disagreement from some of the 176 member states.
Arsenio Dominguez, secretary general of the IMO, said he would “focus on identifying common ground and build consensus”, and pointed out that members had previously agreed to adopt some form of emissions pricing mechanism this year. He said: “The complexities cannot be underestimated. [But] I am positive that we can achieve the required progress to meet our timeline.”
A further complicating factor is Donald Trump’s presidency of the US. The IMO is not thought to be one of his priorities, and the US has not formally adopted a position on the levy in the past. Some think the US could “sit this one out”, in the words of one diplomat.
But even if the US does not obstruct a deal, Trump’s threats of sweeping tariffs are deeply unsettling for countries concerned about global trade.
Delaine McCullough, a campaign manager at Ocean Conservancy, pointed out that Trump’s tariffs were far more disruptive than any likely impact from a shipping levy. “The cost of a levy would be dwarfed by the tariff levels [Trump is proposing],” she said.