China suspends US military visits to Hong Kong, sanctions US-based NGOs

Chinese President Xi Jinping at the Great Hall of the People in Beijing, China November 27, 2019. China said on Monday U.S. military ships and aircraft won’t be allowed to visit Hong Kong, and also announced sanctions against several U.S. non-government organisations for encouraging protesters to “engage in extremist, violent and criminal acts.” China last week promised it would issue “firm counter measures” after U.S. President Donald Trump signed into law the “Hong Kong Human Rights and Democr


Chinese President Xi Jinping at the Great Hall of the People in Beijing, China November 27, 2019.
China said on Monday U.S. military ships and aircraft won’t be allowed to visit Hong Kong, and also announced sanctions against several U.S. non-government organisations for encouraging protesters to “engage in extremist, violent and criminal acts.”
China last week promised it would issue “firm counter measures” after U.S. President Donald Trump signed into law the “Hong Kong Human Rights and Democr
China suspends US military visits to Hong Kong, sanctions US-based NGOs Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-12-02
Keywords: news, cnbc, companies, rights, ships, sanctions, week, kong, hong, ngos, china, usbased, beijing, visit, protesters, times, visits, suspends, military


China suspends US military visits to Hong Kong, sanctions US-based NGOs

Chinese President Xi Jinping at the Great Hall of the People in Beijing, China November 27, 2019.

China said on Monday U.S. military ships and aircraft won’t be allowed to visit Hong Kong, and also announced sanctions against several U.S. non-government organisations for encouraging protesters to “engage in extremist, violent and criminal acts.”

The measures were announced by China’s Foreign Ministry in response to U.S. legislation passed last week supporting anti-government protesters. It said it had suspended taking requests for U.S. military visits indefinitely, and warned of further action to come.

“We urge the U.S. to correct the mistakes and stop interfering in our internal affairs. China will take further steps if necessary to uphold Hong Kong’s stability and prosperity and China’s sovereignty,” said ministry spokeswoman Hua Chunying said at a daily news briefing in Beijing.

China last week promised it would issue “firm counter measures” after U.S. President Donald Trump signed into law the “Hong Kong Human Rights and Democracy Act,” which supports anti-government protesters in Hong Kong and threatens China with potential sanctions.

There are fears that the row over Hong Kong could impact efforts by Beijing and Washington to reach preliminary deal that could de-escalate a prolonged trade war between the two countries.

The U.S.-headquartered NGOs targeted by Beijing include the National Endowment for Democracy, the National Democratic Institute for International Affairs, the International Republican Institute, Human Rights Watch, and Freedom House.

“They shoulder some responsibility for the chaos in Hong Kong and they should be sanctioned and pay the price,” said Hua.

In more normal times, several U.S. naval ships visit Hong Kong annually, a rest-and-recreation tradition that dates back to the pre-1997 colonial era which Beijing allowed to continue after the handover from British to Chinese rule.

Visits have at times been refused amid broader tensions and two U.S. ships were denied access in August.

The USS Blue Ridge, the command ship of the Japanese-based Seventh Fleet, stopped in Hong Kong in April – the last ship to visit before mass protests broke out in June.

Foreign NGOs are already heavily restricted in China, and have previously received sharp rebukes for reporting on rights issues in the country including the mass detention of Uighur Muslims in Xinjiang.


Company: cnbc, Activity: cnbc, Date: 2019-12-02
Keywords: news, cnbc, companies, rights, ships, sanctions, week, kong, hong, ngos, china, usbased, beijing, visit, protesters, times, visits, suspends, military


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A global shipping revolution is weeks away — Here are the likely winners and losers

STR | AFP | Getty ImagesThe biggest shake-up to the oil and shipping industry in decades is set to come into force in just over two months’ time. It claims a reduction in the limit for sulfur fuel oil used by ships will have “tangible health benefits,” especially for coastal communities or those living near major shipping routes. “The shipping industry should be saying: ‘The cost increase is nominal, and we are saving the world!'” This is the opportunity of a lifetime for the shipping lines to j


STR | AFP | Getty ImagesThe biggest shake-up to the oil and shipping industry in decades is set to come into force in just over two months’ time.
It claims a reduction in the limit for sulfur fuel oil used by ships will have “tangible health benefits,” especially for coastal communities or those living near major shipping routes.
“The shipping industry should be saying: ‘The cost increase is nominal, and we are saving the world!'”
This is the opportunity of a lifetime for the shipping lines to j
A global shipping revolution is weeks away — Here are the likely winners and losers Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-30  Authors: sam meredith
Keywords: news, cnbc, companies, ships, industry, oil, sulfur, weeks, losers, revolution, likely, fuel, change, winners, global, away, shipping, berglund, costs


A global shipping revolution is weeks away — Here are the likely winners and losers

This photo taken on May 17, 2019 shows a container ship berthing at the port in Qingdao, in China’s eastern Shandong province. EU firms are “caught in the crossfire” of the US-China trade war, which is hurting the economic environment and exports to the United States, the European Union Chamber of Commerce in China said on May 20, 2019. STR | AFP | Getty Images

The biggest shake-up to the oil and shipping industry in decades is set to come into force in just over two months’ time. On January 1, 2020, the International Maritime Organization (IMO) will impose new emissions standards designed to significantly curb pollution produced by the world’s ships. Amid a broader push toward cleaner energy markets, the IMO is poised to ban shipping vessels using fuel with a sulfur content higher than 0.5%, compared to the present upper limit level of 3.5%. The most commonly used marine fuel is thought to have a sulfur content of around 2.7%. CNBC takes a look at those best placed to cope with the rule change, as well as those likely to struggle with what has previously been described as the “biggest change in oil market history.”

Who are the winners?

“Let me start with the winners: Humankind and nature. It’s a big win,” Cas Pouderoyen, senior vice president of ocean freight at Agility, a global logistics company, told CNBC via telephone. The shipping industry is under intense pressure to slash its sulfur emissions because the pollutant has a negative effect on human health and is a component of acid rain — which harms vegetation and aquatic species. A study on the human health impacts of sulfur oxides, published in 2016 and cited by the IMO, estimates that over 570,000 premature deaths will be prevented between 2020 and 2025 by the introduction of new shipping regulations. It claims a reduction in the limit for sulfur fuel oil used by ships will have “tangible health benefits,” especially for coastal communities or those living near major shipping routes.

Freighter ships as seen in Thessaloniki city in Greece on August 4, 2018. Nicolas Economou | NurPhoto | Getty Images

“IMO 2020 is important from the environmental side of things. An industry that is more market savvy would have made that the focus,” Patrik Berglund, CEO of Xeneta, a Norwegian-based company that crowdsources freight data, told CNBC via telephone. “The shipping industry should be saying: ‘The cost increase is nominal, and we are saving the world!'” “But, no one is talking about that,” Berglund said. Neil Millar, research analyst at Lazard Asset Management, told CNBC via telephone that he believed refineries with the “wherewithal to turn nasty, cheap crude into compliant, clean products,” would be best placed to cope with the looming sea change. “The U.S. is very well placed, big emerging markets companies have made big strides and most European majors are well prepared too,” Millar said.

Who are the losers?

For some of the world’s biggest oil producers, the new rules coming into force represent a source of great concern. The forthcoming measures are widely expected to create an oversupply of high-sulfur fuel oil while sparking demand for IMO-compliant products — thus ratcheting up the pressure on the refining industry to produce substantially more of the latter. This is especially important, energy analysts say, because Middle Eastern oil producers — such as OPEC kingpin Saudi Arabia — are likely to lose out given their over-reliance on crude with a high sulfur content. “It is going to increase costs for a lot of importers and exporters,” Agility’s Pouderoyen said, highlighting the vulnerability of some low-value commodities, such as timber and plastics. “The impact will be quite dramatic — it doesn’t matter whether you are in Sweden or New Zealand, it’s going to get more expensive.”

This is the opportunity of a lifetime for the shipping lines to jack up prices because the entire industry expects increased costs. Patrik Berglund CEO of Xeneta

Maritime transport is critical to the global economy, with more than 90% of the world’s trade carried by sea, according to the United Nations (UN). It is also — by far — the most cost-effective way to move goods and raw materials. More than 170 countries, including the U.S., have signed on to the fuel change. Starting in 2020, ships found in violation of the new law risk being impounded and ports in cooperating countries are expected to police visiting vessels. “Everybody thinks that increased costs will hurt imports and exports and hence costs will be passed on to consumers,” Xeneta’s Berglund said. “That might not be the truth — and historically there is no evidence to support that.”

A crane loads a shipping container branded A.P. Moller-Maersk onto a freight ship. Balint Porneczi | Bloomberg | Getty Images


Company: cnbc, Activity: cnbc, Date: 2019-10-30  Authors: sam meredith
Keywords: news, cnbc, companies, ships, industry, oil, sulfur, weeks, losers, revolution, likely, fuel, change, winners, global, away, shipping, berglund, costs


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Trump is saying Turkey ships a lot of steel to the United States. It doesn’t

Trump says that his penalties, which include sanctions on individual ministers and a 50% tariff on Turkish steel exports to the U.S., are the “strongest you can imagine.” “Turkey won’t allow its sovereignty to be undermined by the U.S. refusing to buy the steel, which Turkey can sell elsewhere.” Between 2018 and 2019, the volume of Turkish steel exports to the states plummeted by 76%, after already falling by 38% from 2017 to 2018. In the first eight months of this year, Turkey’s steel exports t


Trump says that his penalties, which include sanctions on individual ministers and a 50% tariff on Turkish steel exports to the U.S., are the “strongest you can imagine.”
“Turkey won’t allow its sovereignty to be undermined by the U.S. refusing to buy the steel, which Turkey can sell elsewhere.”
Between 2018 and 2019, the volume of Turkish steel exports to the states plummeted by 76%, after already falling by 38% from 2017 to 2018.
In the first eight months of this year, Turkey’s steel exports t
Trump is saying Turkey ships a lot of steel to the United States. It doesn’t Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-17  Authors: natasha turak
Keywords: news, cnbc, companies, turkish, trump, steel, sanctions, ships, turkey, states, saying, tariffs, united, doesnt, wont, exports, lot, turkeys


Trump is saying Turkey ships a lot of steel to the United States. It doesn't

U.S President Donald Trump (R) and President of Turkey Recep Tayyip Erdogan (L) shake hands during a meeting at the Oval Office of the White House in Washington D.C., United States on May 16, 2017.

President Donald Trump is defending his sanctions and tariffs on Turkey in the face of criticism that the measures ⁠— intended to deter Turkey from continuing its expanding military offensive against U.S-allied Kurds in northern Syria ⁠— are too soft.

Trump says that his penalties, which include sanctions on individual ministers and a 50% tariff on Turkish steel exports to the U.S., are the “strongest you can imagine.”

He told media on Tuesday that “We’re being very tough on Turkey and a lot of others … we’re asking for a cease-fire, we put the strongest sanctions that you can imagine … including massive tariffs on steel, they ship a lot of steel to the U.S., they make a lot of money shipping steel, they won’t be making so much money.”

Trade figures contradict Trump’s claim that the measures are a massive economic hit for Turkey. According to U.S. government statistics, Turkish steel exports to the U.S. have dropped dramatically in recent years, meaning that taxing them more highly will likely have a minimal impact on Turkey’s economy.

“Just 0.5% of Turkish exports were steel sales to the U.S. in 2018,” Charlie Robertson, global chief economist at Renaissance Capital, told CNBC. “Turkey won’t allow its sovereignty to be undermined by the U.S. refusing to buy the steel, which Turkey can sell elsewhere.”

“Trump may be exaggerating the importance to deflect criticism.”

Turkey ranks 19th in the list of steel importers to the U.S. by volume, comprising 1.1% of all steel bought by the country this year. Between 2018 and 2019, the volume of Turkish steel exports to the states plummeted by 76%, after already falling by 38% from 2017 to 2018.

Much of the fall last year was on the back of temporary 50% steel tariffs issued over the Turkish detention of Andrew Brunson, an American pastor accused of involvement in Turkey’s 2016 attempted coup. The Trump administration cut the tariffs down to 25% last May.

In the first eight months of this year, Turkey’s steel exports to the U.S. sat at $120 million — a nearly 20-year low.

Turkey’s lira actually rose on Tuesday after the tariffs Trump had threatened came up less serious than markets had expected.


Company: cnbc, Activity: cnbc, Date: 2019-10-17  Authors: natasha turak
Keywords: news, cnbc, companies, turkish, trump, steel, sanctions, ships, turkey, states, saying, tariffs, united, doesnt, wont, exports, lot, turkeys


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US offered millions of dollars to captain of Iranian oil tanker for ship’s seizure, reports say

An Iranian flag flutters on board the Adrian Darya oil tanker, formerly known as Grace 1, off the coast of Gibraltar on August 18, 2019. The U.S. State Department has offered millions of dollars to the captain of an Iranian oil tanker suspected of heading to Syria. U.S. special representative to Iran, Brian Hook, reportedly emailed the captain of the Adrian Darya 1 about sailing the vessel to a country that would impound it on behalf of Washington. The ship, which until recently was known as Gra


An Iranian flag flutters on board the Adrian Darya oil tanker, formerly known as Grace 1, off the coast of Gibraltar on August 18, 2019. The U.S. State Department has offered millions of dollars to the captain of an Iranian oil tanker suspected of heading to Syria. U.S. special representative to Iran, Brian Hook, reportedly emailed the captain of the Adrian Darya 1 about sailing the vessel to a country that would impound it on behalf of Washington. The ship, which until recently was known as Gra
US offered millions of dollars to captain of Iranian oil tanker for ship’s seizure, reports say Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-09-05  Authors: sam meredith
Keywords: news, cnbc, companies, reports, ships, millions, iranian, seizure, dollars, iran, captain, adrian, known, offered, grace, darya, say, tanker, oil, whereabouts


US offered millions of dollars to captain of Iranian oil tanker for ship's seizure, reports say

An Iranian flag flutters on board the Adrian Darya oil tanker, formerly known as Grace 1, off the coast of Gibraltar on August 18, 2019.

The U.S. State Department has offered millions of dollars to the captain of an Iranian oil tanker suspected of heading to Syria.

U.S. special representative to Iran, Brian Hook, reportedly emailed the captain of the Adrian Darya 1 about sailing the vessel to a country that would impound it on behalf of Washington.

The ship, which until recently was known as Grace 1, has been at the center of a diplomatic dispute between Iran and Western powers for several weeks.

The current whereabouts of the Iranian oil tanker is unknown, with reports suggesting it appears to have turned off its transponder in the Mediterranean west of Syria on Tuesday.


Company: cnbc, Activity: cnbc, Date: 2019-09-05  Authors: sam meredith
Keywords: news, cnbc, companies, reports, ships, millions, iranian, seizure, dollars, iran, captain, adrian, known, offered, grace, darya, say, tanker, oil, whereabouts


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How heavy-lifting cargo drones could change shipping

How heavy-lifting cargo drones will change the shipping industry22 Hours AgoToday, container ships transport more than 90% of all goods in the world, but it can take over a month for those goods to sail from Beijing to New York. Cargo drones could be the disruption needed in a global supply chain that has been largely unchanged since the 1950s.


How heavy-lifting cargo drones will change the shipping industry22 Hours AgoToday, container ships transport more than 90% of all goods in the world, but it can take over a month for those goods to sail from Beijing to New York. Cargo drones could be the disruption needed in a global supply chain that has been largely unchanged since the 1950s.
How heavy-lifting cargo drones could change shipping Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-26
Keywords: news, cnbc, companies, cargo, drones, world, heavylifting, change, transport, shipping, york, supply, goods, ships, unchanged


How heavy-lifting cargo drones could change shipping

How heavy-lifting cargo drones will change the shipping industry

22 Hours Ago

Today, container ships transport more than 90% of all goods in the world, but it can take over a month for those goods to sail from Beijing to New York. Cargo drones could be the disruption needed in a global supply chain that has been largely unchanged since the 1950s.


Company: cnbc, Activity: cnbc, Date: 2019-07-26
Keywords: news, cnbc, companies, cargo, drones, world, heavylifting, change, transport, shipping, york, supply, goods, ships, unchanged


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Iran’s president warns foreign powers to keep naval ships out of the Persian Gulf

Iranian President Hassan Rouhani (L) attends the 21st Nationwide Assembly of the Islamic Revolution Guards Corps (IRGC) Commanders in Tehran, Iran on September 15, 2015. Iranian President Hassan Rouhani has told his cabinet that protecting security around the Persian Gulf is solely the responsibility of countries in the region and that other nations should stay away. The United Kingdom is attempting to form an alliance with other nations to protect ships passing through the Persian Gulf and Stra


Iranian President Hassan Rouhani (L) attends the 21st Nationwide Assembly of the Islamic Revolution Guards Corps (IRGC) Commanders in Tehran, Iran on September 15, 2015. Iranian President Hassan Rouhani has told his cabinet that protecting security around the Persian Gulf is solely the responsibility of countries in the region and that other nations should stay away. The United Kingdom is attempting to form an alliance with other nations to protect ships passing through the Persian Gulf and Stra
Iran’s president warns foreign powers to keep naval ships out of the Persian Gulf Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-24  Authors: david reid
Keywords: news, cnbc, companies, oil, irgc, united, persian, warns, irans, gulf, nations, kingdom, iranian, hassan, rouhani, naval, foreign, ships, president, powers


Iran's president warns foreign powers to keep naval ships out of the Persian Gulf

Iranian President Hassan Rouhani (L) attends the 21st Nationwide Assembly of the Islamic Revolution Guards Corps (IRGC) Commanders in Tehran, Iran on September 15, 2015.

Iranian President Hassan Rouhani has told his cabinet that protecting security around the Persian Gulf is solely the responsibility of countries in the region and that other nations should stay away.

The United Kingdom is attempting to form an alliance with other nations to protect ships passing through the Persian Gulf and Strait of Hormuz, a channel that sees 20% of the world’s oil supply pass through it.

A U.K. ministry of defense spokesperson confirmed to CNBC Wednesday afternoon that negotiations were ongoing with a number of countries within Europe as well as others including India, the United States and Pakistan.

Iranian Revolutionary Guards (IRGC) seized a British Ship traveling through the channel on Friday, an apparent tit-for-tat measure after the United Kingdom had previously impounded an Iranian tanker in the Mediterranean which was suspected of intending to deliver oil to Syria’s Assad regime. Such a move is banned by EU sanctions.


Company: cnbc, Activity: cnbc, Date: 2019-07-24  Authors: david reid
Keywords: news, cnbc, companies, oil, irgc, united, persian, warns, irans, gulf, nations, kingdom, iranian, hassan, rouhani, naval, foreign, ships, president, powers


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Trump says US Navy destroys Iranian drone in ‘defensive action,’ escalating tensions in Gulf region

President Donald Trump said Thursday that a U.S. Navy ship had destroyed an Iranian drone in a “defensive action,” escalating already high tensions in the oil-rich Gulf region. The USS Boxer, an amphibious assault ship, took down the drone in the Strait of Hormuz earlier Thursday, Trump said. The USS Boxer is equipped with the Phalanx CIWS — close-in weapon system — for defense against threats including anti-ship missiles and helicopters. The ship also is armed with short-range anti-ship missile


President Donald Trump said Thursday that a U.S. Navy ship had destroyed an Iranian drone in a “defensive action,” escalating already high tensions in the oil-rich Gulf region. The USS Boxer, an amphibious assault ship, took down the drone in the Strait of Hormuz earlier Thursday, Trump said. The USS Boxer is equipped with the Phalanx CIWS — close-in weapon system — for defense against threats including anti-ship missiles and helicopters. The ship also is armed with short-range anti-ship missile
Trump says US Navy destroys Iranian drone in ‘defensive action,’ escalating tensions in Gulf region Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-18  Authors: dan mangan amanda macias, dan mangan, amanda macias
Keywords: news, cnbc, companies, president, iranian, boxer, gulf, international, destroys, trump, drone, ship, tensions, navy, escalating, took, ships, strait, defensive, uss, region


Trump says US Navy destroys Iranian drone in 'defensive action,' escalating tensions in Gulf region

President Donald Trump said Thursday that a U.S. Navy ship had destroyed an Iranian drone in a “defensive action,” escalating already high tensions in the oil-rich Gulf region.

The USS Boxer, an amphibious assault ship, took down the drone in the Strait of Hormuz earlier Thursday, Trump said.

The Boxer is part of a group of Navy ships that was in the strait, located between the Persian Gulf and the Gulf of Oman, as part of an increased U.S. military presence in the region.

Twenty percent of the world’s crude oil passes through the Strait of Hormuz.

The incident came four weeks after Iran shot down a U.S. surveillance drone flying over international airspace the same area, in what American officials at the time called an “unprovoked attack.”

And it came hours after Iran’s Revolutionary Guard seized a foreign tanker it accused of smuggling oil.

During an event at the White House, Trump said, “The Boxer took defensive action against an Iranian drone, which had closed into a very, very near distance, approximately 1000 yards, ignoring multiple calls to stand down and was threatening the safety of the ship and the ship’s crew.”

“The drone was immediately destroyed,” Trump said.

The president called the drone’s approach toward the Boxer “the latest of many provocative and hostile actions against vessels operating in international waters.”

He said the United States “reserves [the] right to defend our personnel, our facilities, and interests and calls upon all nations to condemn Iran’s attempts to disrupt freedom of navigation and global commerce.”

“I also call on other nations to protect their ships as they go through the Strait and to work with us in the future,” Trump said.

A U.S. defense official would not say how the drone was brought down when asked by CNBC.

The USS Boxer is equipped with the Phalanx CIWS — close-in weapon system — for defense against threats including anti-ship missiles and helicopters.

The ship also is armed with short-range anti-ship missiles and non-kinetic systems that could be capable of targeting a drone.

The Pentagon, in a statement issued after the president spoke, said, “At approximately 10 a.m. local time, the amphibious ship USS Boxer was in international waters conducting a planned inbound transit of the Strait of Hormuz.”

“A fixed wing unmanned aerial system (UAS) approached Boxer and closed within a threatening range. The ship took defensive action against the UAS to ensure the safety of the ship and its crew,” the Pentagon said.


Company: cnbc, Activity: cnbc, Date: 2019-07-18  Authors: dan mangan amanda macias, dan mangan, amanda macias
Keywords: news, cnbc, companies, president, iranian, boxer, gulf, international, destroys, trump, drone, ship, tensions, navy, escalating, took, ships, strait, defensive, uss, region


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The ‘biggest change in oil market history’ is less than six months away

The rule change is designed to significantly curb pollution produced by the world’s ships. But, starting next year, the shipping industry will have to comply with rules that should dramatically reduce sulfur emissions. “It is the biggest change in oil market history,” Steve Sawyer, senior analyst at energy consultant Facts Global Energy, told CNBC. More than 170 countries, including the U.S., have signed on to the fuel change. The proposed rule change comes at a time when the stakes are high for


The rule change is designed to significantly curb pollution produced by the world’s ships. But, starting next year, the shipping industry will have to comply with rules that should dramatically reduce sulfur emissions. “It is the biggest change in oil market history,” Steve Sawyer, senior analyst at energy consultant Facts Global Energy, told CNBC. More than 170 countries, including the U.S., have signed on to the fuel change. The proposed rule change comes at a time when the stakes are high for
The ‘biggest change in oil market history’ is less than six months away Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-15  Authors: sam meredith
Keywords: news, cnbc, companies, shipping, ships, emissions, fuel, away, imo, change, history, biggest, worlds, market, oil, sulfur, months, industry


The 'biggest change in oil market history' is less than six months away

The International Maritime Organization (IMO) will enforce new emissions standards on January 1, 2020. The rule change is designed to significantly curb pollution produced by the world’s ships. Arterra | Universal Images Group | Getty Images

Tens of thousands of ships sailing the world’s oceans burn more than 3 million barrels of sludge-like high-sulfur fuel every single day. But, starting next year, the shipping industry will have to comply with rules that should dramatically reduce sulfur emissions. “It is the biggest change in oil market history,” Steve Sawyer, senior analyst at energy consultant Facts Global Energy, told CNBC. “It is going to affect crude oil producers, traders, ship owners, refiners, equity investors, insurance companies, logistical businesses, banks… Who’s left? I’m struggling to think of anyone it might not affect. That’s why it is a huge transition,” Sawyer said. With less than six months to go before the new rules on marine fuels come into force, CNBC takes a look at the far-reaching consequences of the coming changes.

What is IMO 2020?

On January 1, 2020, the International Maritime Organization (IMO) will enforce new emissions standards designed to significantly curb pollution produced by the world’s ships. Amid a broader push towards cleaner energy markets, the IMO is set to ban shipping vessels using fuel with a sulfur content higher than 0.5%, compared to levels of 3.5% at present. The most commonly used marine fuel is thought to have a sulfur content of around 2.7%.

There is a brick wall coming at the end of December which has been built for over two years. I think you can either run into it head first and say: ‘that hurts,’ or you can find a way around it. ” Steve Sawyer Senior analyst at Facts Global Energy

The new regulations are the result of a recommendation that came from a subcommittee at the United Nations (UN) more than a decade ago and was adopted in 2016 by the UN’s IMO, which sets rules for shipping safety, security and pollution. More than 170 countries, including the U.S., have signed on to the fuel change. Starting in 2020, ships found in violation of the new laws risk being impounded and ports in cooperating countries are expected to police visiting vessels.

Why does it matter?

“It is an enormous switch. If you considered shipping alongside all of the oil consuming nations, it would be number four or five on the list — so it is an enormous amount of consumption,” Anthony Gurnee, CEO of Ardmore Shipping, told CNBC’s “Squawk Box Europe” last week. Ardmore Shipping is a U.S.-listed company based in Ireland, with a business of owning and operating a fleet of tankers that move refined oil products. “We are going to a fundamentally different type of fuel. It is having a bigger impact actually on the refining industry than it is on shipping,” Gurnee said.

The forthcoming measures are widely expected to create an oversupply of high-sulfur fuel oil while sparking demand for IMO-compliant products — thus ratcheting up the pressure on the refining industry to produce substantially more of the latter. This is especially important, energy analysts say, because Middle Eastern oil producers — such as OPEC kingpin Saudi Arabia — are likely to lose out given their over-reliance on crude with a high-sulfur content. The shipping industry is under intense pressure to slash its sulfur emissions, given the pollutant is a component of acid rain, which harms vegetation and wildlife, and contributes to the acidification of the oceans. The proposed rule change comes at a time when the stakes are high for the world’s shipping vessels. Late last year, analysts at UBS estimated the green shipping market could be worth at least $250 billion over the next five years.

Is there any chance it could be delayed?

In a word: no. The IMO has said there can now be no change to the implementation date, as it is too late for any revisions to take place before January 1, 2020.

What must ships do to meet the new regulations?

Ship owners can significantly reduce their sulfur emissions by using low-sulfur fuel, traveling more slowly, installing exhaust gas cleaning systems or opting for other — more expensive — clean fuels such as liquefied natural gas. Some ships will chose to limit the air pollutants by installing exhaust gas cleaning systems, known as “scrubbers.” These are designed to remover sulfur oxides from the ship’s engine and boiler exhaust gases. A ship fitted with a scrubber could continue to use heavy oil, since the sulfur oxide emissions would be reduced to a level equivalent to the required limit.

A support vessel flying an Iranian national flag sails alongside the oil tanker ‘Devon’ as it prepares to transport crude oil to export markets in Bandar Abbas, Iran, on Friday, March 23, 2018. Ali Mohammadi/Bloomberg via Getty Images


Company: cnbc, Activity: cnbc, Date: 2019-07-15  Authors: sam meredith
Keywords: news, cnbc, companies, shipping, ships, emissions, fuel, away, imo, change, history, biggest, worlds, market, oil, sulfur, months, industry


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The world’s largest shipping firm has altered its route through the Strait of Hormuz amid rising tensions

Moller-Maersk has changed the route its ships sail through the world’s busiest transit lane for seaborne oil shipments, citing safety concerns amid a rapid series of escalations between the U.S. and Iran. A surface-to-air missile shot down a U.S. military drone in international airspace over the Strait of Hormuz, a U.S. official told NBC News Thursday morning. The reported drone downing has exacerbated fears that a major military confrontation could soon erupt between Washington and Tehran. “We


Moller-Maersk has changed the route its ships sail through the world’s busiest transit lane for seaborne oil shipments, citing safety concerns amid a rapid series of escalations between the U.S. and Iran. A surface-to-air missile shot down a U.S. military drone in international airspace over the Strait of Hormuz, a U.S. official told NBC News Thursday morning. The reported drone downing has exacerbated fears that a major military confrontation could soon erupt between Washington and Tehran. “We
The world’s largest shipping firm has altered its route through the Strait of Hormuz amid rising tensions Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-20  Authors: sam meredith
Keywords: news, cnbc, companies, rising, assets, firm, changed, strait, amid, safety, largest, hormuz, protecting, worlds, told, route, shipping, ships, tensions, sail


The world's largest shipping firm has altered its route through the Strait of Hormuz amid rising tensions

A.P. Moller-Maersk has changed the route its ships sail through the world’s busiest transit lane for seaborne oil shipments, citing safety concerns amid a rapid series of escalations between the U.S. and Iran.

A surface-to-air missile shot down a U.S. military drone in international airspace over the Strait of Hormuz, a U.S. official told NBC News Thursday morning.

The reported drone downing has exacerbated fears that a major military confrontation could soon erupt between Washington and Tehran.

When asked what steps A.P. Moller-Maersk had taken to protect its assets after the latest flare-up in tensions, the chief operating officer of the world’s largest shipping company said the safety of its workforce would be the top priority.

“We are protecting our assets but, first and foremost, we are protecting and being very careful when it comes to (the) safety of our employees,” Soren Toft told CNBC’s “Squawk Box Europe” on Thursday.

“We have multiple assets, ships (and) people, crossing the Strait of Hormuz every day, every week. So far, we have not stopped serving the area (but) we have changed the path that the ships sail so we have changed the route.”


Company: cnbc, Activity: cnbc, Date: 2019-06-20  Authors: sam meredith
Keywords: news, cnbc, companies, rising, assets, firm, changed, strait, amid, safety, largest, hormuz, protecting, worlds, told, route, shipping, ships, tensions, sail


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Major banks set new lending standards for shipping industry in order to cut CO2 emissions

Eleven banks that lend to shipping lines announced Monday that climate impact will be integrated into the criteria that determines how much shipping companies can borrow, an effort the banks say will substantially cut CO2 emissions in the industry. “We’re making banks alert to the consequences of climate change in their portfolios,” said Michael Parker, global industry head for shipping with Citigroup. “We’re now taking climate change issues into decision-making in a way that helps the industry


Eleven banks that lend to shipping lines announced Monday that climate impact will be integrated into the criteria that determines how much shipping companies can borrow, an effort the banks say will substantially cut CO2 emissions in the industry. “We’re making banks alert to the consequences of climate change in their portfolios,” said Michael Parker, global industry head for shipping with Citigroup. “We’re now taking climate change issues into decision-making in a way that helps the industry
Major banks set new lending standards for shipping industry in order to cut CO2 emissions Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-17  Authors: emma newburger
Keywords: news, cnbc, companies, parker, banks, emissions, industry, ships, cut, set, major, global, lending, maritime, shipping, climate, order, co2, standards


Major banks set new lending standards for shipping industry in order to cut CO2 emissions

The Cosco Spain container ship, operated by Cosco Shipping Holdings Co., sails near the Yangshan Deepwater Port, operated by Shanghai International Port Group Co. (SIPG), in this aerial photograph taken in Shanghai, China, on Friday, May 10, 2019.

Eleven banks that lend to shipping lines announced Monday that climate impact will be integrated into the criteria that determines how much shipping companies can borrow, an effort the banks say will substantially cut CO2 emissions in the industry.

The banks will set their new lending standards around the International Maritime Organization’s 2018 climate commitment, which seeks to reduce CO2 emissions by at least 50% from 2008 levels by 2050 and to cut emissions from individual ships by 40% from 2008 levels by 2030.

“We’re making banks alert to the consequences of climate change in their portfolios,” said Michael Parker, global industry head for shipping with Citigroup.

“We’re now taking climate change issues into decision-making in a way that helps the industry transition to necessary technology to design ships, reduce emissions and decarbonize the industry.”

It’s the first time that global banks are collectively integrating a climate alignment strategy into financial decisions.

Shipping accounts for 2.2% of world carbon dioxide emissions, according to the IMO, a U.N. agency that regulates pollution from ships.

The lending framework, called the “Poseidon Principles,” will assess and disclose whether financial institutions’ lending portfolios are in line with the IMO’s climate goals adopted in 2018.

The shipping industry avoided specific emission-cutting targets in the 2015 Paris climate agreement, when 195 countries pledged to cut greenhouse gas emissions in order to limit global average temperature rise to below 2 degrees Celsius.

The 11 banks collectively represent about 20%, or roughly $100 billion, of the global ship finance portfolio. The banks involved include Citi, Societe Generale, DNB, Danish Ship Finance, Danske Bank and Norway’s DVB. More signatories are expected following the official launch in a few months, Parker said.

James Mitchell, maritime finance lead at Rocky Mountain Institute, said the new standards will “redefine” the role of banks in the maritime shipping sector and encourage financial institutions to follow suit in other sectors.

“[The Poseidon Principles] are the world’s first global, sector-specific and self-governing climate alignment agreement among financial institutions,” Mitchell said. “The significance of this agreement cannot be understated.”

The maritime sector will require more ships to transport goods over the next few decades, Parker said, emphasizing that the new lending standards will help make those additional ships cleaner and more efficient.

“We know that it’s going to get more difficult. The challenge is to ensure that there’s a transition, that investment goes into helping the industry find alternative fuels in a way that incentivizes people to invest in new ships and new technology,” Parker said.

“We’ll help make lending decisions and investing decisions much less speculative and more directed toward the environmental consequences of that investment,” he said.

The IMO also implemented additional climate regulations last year that will slash emissions of sulfur by the world’s ships in 2020. OPEC oil producers, fuel sellers and shipping companies raised concerns that those new rules will make the oil market more volatile and hurt ships that aren’t equipped to reduce sulfur emissions or pay premiums for cleaner fuel within the set timeline.

Mitchell said that the IMO will launch more climate alignment policies in upcoming years, as banks and shipping owners transition to cleaner energy and technology.

“This is not occurring in a vacuum,” Mitchell said. “There are more policies coming down the pipe from IMO, and those will be policies that bring in more challenging aspects of decarbonization.”


Company: cnbc, Activity: cnbc, Date: 2019-06-17  Authors: emma newburger
Keywords: news, cnbc, companies, parker, banks, emissions, industry, ships, cut, set, major, global, lending, maritime, shipping, climate, order, co2, standards


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