SHANGHAI, Oct. 21 (Xinhua Silk Road) -- Clear international rules, available low-carbon fuels and effective economic incentives are essential to help shipping companies make long-term investment decisions amid geopolitical tensions and the energy transition, according to John Denholm, chairman of the International Chamber of Shipping (ICS).
In an interview with Xinhua Finance during the 2026 North Bund International Shipping Forum in Shanghai, Denholm said the industry wants greater certainty about the regulations and incentives that will shape its future.
From protecting seafarers to cutting emissions, he emphasized the importance of a global regulatory framework for an industry whose operations span borders. He also welcomed China's progress in green fuels and new technologies, saying its experience should play a greater role in international maritime policy discussions.
One fundamental challenge is the long lifespan of ships. A vessel built today could still be operating in 2050, meaning owners must consider its future energy supply when making investment decisions now, Denholm said.
Yet low-carbon fuel supplies remain limited, and it is unclear which options will become widely available.
The economics of switching fuels present another obstacle. Denholm recalled how his great-grandfather sold sailing ships and bought coal-powered steamships because the change made commercial sense.
Today's move to low-carbon fuels does not offer the same economic attraction, he said, calling for a pricing mechanism to help drive the transition.
Regulations must also ensure that new fuels can be used safely. Fuel availability, economic incentives and safety requirements are interconnected challenges, with limited time for the industry to address them, he added.
Denholm said shipping companies want the International Maritime Organization (IMO) to provide leadership and a clear plan so they can understand the rules and incentives governing future operations.
The industry has demonstrated its flexibility by continuing to move world trade through recent conflicts. Long-term investment, however, requires a clearer understanding of the framework within which companies will operate.
Denholm described the draft IMO Net-Zero Framework as ambitious and imperfect, but an important basis for reaching agreement through the organization. Without global rules, he warned, shipping could face a fragmented patchwork of regional regulations.
In the interview, he said the eventual framework could be a revised version of the existing proposal. The priority is to establish clear arrangements that give companies a predictable regulatory environment.
The Net-Zero Framework comprises a range of technical and economic measures that set the global shipping sector on a path to net-zero emissions by 2050.
Delivering that ambition requires a substantial acceleration in the production and supply of zero- and near-zero-emission marine fuels, alongside a pragmatic approach to reducing emissions, he said.
He expressed hope for progress in subsequent negotiations and said ICS would work with member states, including China, to support the IMO's objectives and the development of standards and rules.
Denholm also credited international rules with helping improve shipping's safety and environmental performance.
Digitalization and artificial intelligence offer further opportunities to improve maritime safety, but their use also needs a global regulatory framework, he added.
Turning to China, Denholm said its shipbuilding capacity, industrial output and exports make it integral to the global maritime value chain.
Denholm was also impressed by China's technological progress.
"What China has done on battery technology is fantastic," he said, noting his interest in the increasing use of electric vessels on the country's inland waterways.
He said China's advances in green fuels and new technologies are an important contribution to shipping's transition. (Contributed by Ge Jiaming)
A single purchase
