HOTTER ON METALS: Physical players, know your ship owner or pay the penalties

If you are a producer or consumer, or are active in the physical markets, then you had better be aware of a new set of regulations that will make it all the more important for you to choose the right logistics partner from next year.

The International Maritime Organization (IMO) has ruled that from January 1, 2020, the marine sector will have to reduce sulfur emissions by more than 80% by switching to fuels with lower levels of sulfur or by using an exhaust gas cleaning system, known as a scrubber. The regulations will create the largest reduction in the sulfur content of a transportation fuel undertaken at any single time, and will have far-reaching consequences for the shipping sector, given that about 90% of global trade, including metals, moves in a world fleet of more than 50,000 ships. That is why picking the right ship owner is essential. Failure to comply with the global regulations will result in fines or in vessels being detained. The actual enforcement will be policed by flag and port states, rather than by the IMO. So if you want to ensure that your cargo gets from origin to final destination without any...

Published

Andrea Hotter

November 07, 2019

18:35 GMT

New York