Update on the European Emission Trading System (EU ETS) – Full Implementation from 2026
From 1 January 2026, the European Emission Trading System (EU ETS) for shipping will reach its final implementation phase. From this date onwards, shipping companies will need to submit allowances for 100% of their verified CO₂ emissions for all voyages involving ports in the European Union (EU*).
This marks the completion of the gradual phase-in period introduced by the EU:
- 40% of emissions covered in 2024
- 70% of emissions covered in 2025
- 100% of emissions covered from 2026 onwards
The EU ETS applies to:
- 100% of emissions from voyages within the EU*, and
- 50% of emissions from voyages between the EU* and non-EU ports.
As a result, overall EU ETS-related costs are expected to increase in 2026 compared to 2025, depending on the market price of emission allowances.
What This Means for You
- We will adjust our existing EU ETS surcharge to reflect the transition to 100% emissions coverage.
- We expect the surcharge to increase by approximately 45% as a result of this regulatory update.
- Furthermore, the surcharge will reflect recent increases in emission allowance prices.
- If you have purchased our Ship Green product, you will continue to receive surcharge credits as follows:
- Ship Green 100 → 100% surcharge credit
- Ship Green 50 → 50% surcharge credit
- Ship Green 25 → 25% surcharge credit
Your Benefits
- Transparency: EU ETS and FuelEU Maritime costs are combined into one clear surcharge.
- Fair cost recovery: Surcharges are based on recognized emission factors and market indices, following the cost recovery principle.
- Seamless integration with Ship Green: Ship Green remains an additional solution. When you book Ship Green, your EU ETS charge will be waived or adjusted according to your cargo’s reduced emissions.
We will continue to keep you informed about upcoming regulatory changes and their impact on your business. To learn more about our sustainability initiatives and decarbonization strategy, please visit our Sustainability page.
*For the purpose of this communication, “EU” includes all countries to which EU ETS and Fuel EU Maritime apply (EU 27 plus the European Free Trade Association countries).