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Brazil pushes back against proposed global shipping tax
Brazil has urged the UN to abandon a proposed carbon levy on international shipping, arguing it would harm exports and raise costs, even as the country prepares to host the next UN climate summit.
Fiona Harvey reports for The Guardian.
In short:
- The International Maritime Organization (IMO) will debate a carbon levy on shipping this week, with supporters saying it could generate billions to help poor nations address climate change.
- Brazil, China, Saudi Arabia and others oppose the tax, claiming it would disproportionately impact developing nations and increase economic inequality.
- Despite opposition, at least 46 countries back the levy, and discussions will continue before a decision expected in April.
Key quote:
“A levy would not deliver a just and equitable transition [to low-CO2 shipping] and its adoption may trigger negative, economy-wide impacts.”
— Brazil, China and 12 other nations in a submission to the IMO in January
Why this matters:
Shipping accounts for roughly 3% of global carbon emissions, and regulating its impact is a key part of international climate policy. The proposed levy could set a precedent for taxing high-emission industries, but opposition from major exporters highlights the economic tensions in climate negotiations. Brazil’s stance reflects concerns that costs will be passed down to consumers, affecting food prices and trade. With the country set to host the next UN climate summit, its position could influence broader climate financing debates.