Amazon and IKEA "Using Only Carbon Emission Zero Ships from 2040 at the Latest"

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Kim Suhwan] The world's largest e-commerce companies, Amazon and IKEA, have committed to achieving 'zero carbon emissions' in maritime transportation by 2040.

On the 19th (local time), The Washington Post (WP) and CNBC reported that companies such as Amazon, IKEA, Unilever, and Michelin plan to switch to using only ships powered by zero-carbon fuels in international trade by 2040 to reduce greenhouse gas emissions.

According to WP, cargo ships that transport 90% of the world's manufactured goods currently emit about 1.1 billion tons of carbon dioxide annually. This amount is approximately 3% of the total CO2 emissions produced by humans, comparable to Germany, the 6th largest carbon emitter.

Earlier in 2018, the International Maritime Organization (IMO) announced a goal to reduce carbon emissions from international shipping by at least 50% by 2050 compared to 2008 levels.

In this regard, the U.S. environmental group Clean Air Task Force (CATF) stated that to achieve the IMO's goal, most international shipping vessels must use carbon-free fuels such as ammonia, which is 3 to 7 times more expensive than conventional ship fuels.

CATF specifically projected that the U.S. shipping industry would need to consume 47 million tons of ammonia to meet the IMO's 2050 target.

Additionally, assuming a transitional phase where fuel is switched to liquefied natural gas (LNG), methane emissions could be significantly reduced compared to current levels, resulting in an estimated 15% reduction in carbon emissions.

The global shipping industry has long focused on ammonia as an eco-friendly alternative fuel to replace conventional fuels.

However, there are concerns that it will realistically take a considerable amount of time before ammonia can be used as a marine fuel.

CATF emphasized, "To respond to the climate crisis, the shipping industry must rapidly become 'carbon emission zero,'" adding, "A strong and globally well-coordinated effort is necessary to transition to ammonia."