Senators Rick Scott and Ashley Moody have urged the Trump administration to continue its opposition to a proposed global carbon tax on maritime shipping. In a letter addressed to Commerce Secretary Howard Lutnick and Secretary of State Marco Rubio, the senators thanked them for their efforts and for President Trump’s recent announcement rejecting the International Maritime Organization’s (IMO) carbon-pricing proposal.
The IMO plan, which is set for consideration next month, would implement a binding and escalating global carbon tax on maritime shipping. According to the senators, this system would introduce increasingly strict emissions tiers and rising levies that cannot be avoided by opting out or declining participation. Even if the United States chooses not to implement the tax domestically, American exporters and importers would still be required to pay it due to enforcement by foreign ports and flag states.
The senators highlighted concerns that the United States would bear a disproportionate share of the financial burden under this framework. Although accounting for about 11% of global trade by value, U.S. entities are projected to contribute approximately 20% of total IMO tax revenue because American trade routes generally cover greater distances than those in Europe or Asia. Industry models suggest that between 2028 and 2035, American producers and consumers could face nearly $1 trillion in taxes under the proposed rate structure.
Scott and Moody argue that while other nations supporting the framework stand to benefit, America does not receive any of the tax revenue nor has influence over policy decisions related to it. They contend this amounts to “taxation without representation” and poses a direct threat to U.S. economic security.
The letter also addresses concerns about foreign competition, noting: “As you rightly pointed out, China is using the IMO process to force the premature retirement of vessels and further entrench its targeted dominance in the shipbuilding industry.” The senators assert that major container lines from Europe, Japan, and China—who control most global container capacity—are aligning their investments with the IMO framework for competitive advantage over American operators.
Additionally, Scott and Moody warn that applying such a framework globally could create economic distortions by shifting cargo away from cleaner maritime transport modes like U.S. short-sea shipping toward land-based options exempt from carbon taxation.
“The administration has made clear that President Trump rejects this proposal and will not tolerate any action that harms Americans and increases costs on our citizens and businesses,” they wrote. “To protect American economic and maritime interests, we ask that the administration immediately apply trade leverage to block the IMO framework.”
They emphasized what they described as a historic opportunity: “This is a historic opportunity not only to stop the IMO carbon tax, but to restore our influence in global maritime policy and rapidly reassert American global maritime dominance.”
Scott and Moody concluded their letter by stating their commitment “to working together to protect American interests, defend our economic sovereignty, and strengthen the future of U.S. maritime power.”
