IMO 2020: ENVIROMENTAL AND ECONOMIC IMPACT

United Nation adopted since 2016 trough its agency International Maritime Organization (IMO), the regulation that imposed reduction of Sulphur in the fuel used by merchant vessels. Rule mandating lower sulfur emissions for the shipping industry went into effect on January 1, 2020. The new regulations, already in force and addressed as IMO 2020 have been the subject of concerns and predictions of vast disruptions and impacts to shippers, customers, ship owners, affecting supply chains. The study will highlight the importance of the adopted rule for the environment, which was the trigger for the United Nation to act. Beside this, the study below aims to research and to give an outlook from economical point of view of main parties affected by IMO 2020, respectively customers and vessels owners. Official acts, norms and studies will be reviewed for proper conclusions. Results will show that indeed environment get a boost but with additional pressure and costs rise for involved parties, costs being transferred on the final product that is subject of maritime carriage.