Theory and practice of China’s shipping carbon tax under the “dual carbon” targets

The issue of emissions reduction in the shipping industry has garnered widespread attention from the international community. The International Maritime Organization and many countries have been exploring market-based emission reduction measures such as the carbon tax. Given China’s pivotal role in international maritime trade, developing effective carbon reduction policies is essential for the nation and the broader decarbonization of global shipping. To establish a shipping carbon tax system tailored to China’s context, it is imperative to draw upon international practices while grounding the framework in the realities of China’s market economy and the specifics of its shipping industry. Following the overarching requirement of coordinated international and domestic advancement, this study clarifies the design principles and basis for a carbon tax on shipping. Building on this analysis, policy recommendations are proposed for China’s adoption of such a tax. The findings aim to provide theoretical support for subsequent research on energy conservation and emissions reduction in the shipping industry, leveraging the role of the shipping carbon tax in achieving the “dual carbon” targets.