UN maritime treaty on hazardous cargo liability takes effect Nov 2027
A chemical tanker. Photo from International Maritime Organization
  • The International Convention on Liability and Compensation for Damage in Connection with the Carriage of Hazardous and Noxious Substances by Sea, or the 2010 HNS Convention, is set to enter into force on November 29, 2027
  • The timeline started on May 29, 2026, when the treaty met conditions to trigger an 18-month countdown
  • Belgium, Germany, the Netherlands, and Sweden ratified it in April, bringing the total number of contracting states to 12
  • The others are: Canada, Denmark, Estonia, France, Norway, Slovakia, South Africa, and Türkiye
  • The convention will cover more than 2,000 substances, including chemicals, oils, acids, fertilizers, LNG, and LPG, and is expected to require roughly 65,000 vessels to carry HNS insurance certificates
  • Compensation per incident is capped at about $360 million, funded first by shipowner liability insurance and, if needed, by a new HNS Fund paid for by cargo receivers

The International Convention on Liability and Compensation for Damage in Connection with the Carriage of Hazardous and Noxious Substances by Sea, or the 2010 HNS Convention, is set to enter into force on November 29, 2027, marking a major development in the global maritime liability framework as volumes of chemicals and alternative fuels transported by sea continue to grow.

The timeline was set in motion on May 29, 2026, when the treaty met the conditions required to trigger an 18-month countdown to implementation, the International Maritime Organization said in a statement.

Under Article 21(1) of the protocol, entry into force requires ratification by at least 12 states, including four with at least 2 million units of gross tonnage each, and confirmation that contributing cargo across those states totaled at least 40 million tonnes in the prior calendar year.

Both benchmarks were met following ratifications by Belgium, Germany, the Kingdom of the Netherlands, and Sweden in April 2026, bringing the total number of contracting states to 12, nine of which exceed the 2-million-tonnage threshold. Cargo reports submitted under Article 20 confirmed that cargo contributed across contracting states exceeded 40 million tonnes in the 2025 reporting year.

“The fulfilment of the conditions for the entry into force of the HNS Protocol is a long-awaited milestone that closes an important gap in the international liability and compensation regime for shipping,” IMO secretary-general Arsenio Dominguez said.

“This treaty will ensure that those affected by hazardous cargo incidents involving ships can access fair and timely compensation, while providing legal certainty for industry and governments,” Dominguez added.

New layer of protection for shipping

The convention extends to hazardous and noxious substances the kind of liability and compensation framework the IMO has long applied to oil spills and shipwrecks. It covers loss of life, personal injury, property damage, economic loss, cleanup costs and environmental damage stemming from incidents involving more than 2,000 substances carried by sea, including chemicals, oils, acids, fertilizers, alcohols, LNG and LPG.

Under the new regime, shipowners face strict liability for damage and must maintain state-certified insurance or other financial security. The IMO estimates that approximately 65,000 ships will need HNS certificates of insurance once the convention takes effect.

HNS fund

Once a shipowner’s liability is exhausted, an HNS Fund will provide additional compensation, financed through post-incident contributions from cargo receivers in contracting states, in line with the “polluter pays” principle.

Total compensation under the convention is capped at 250 million SDR, or roughly $360 million at current exchange rates, per incident, with shipowners strictly liable up to that ceiling. The fund itself will be administered by states, with contributions calibrated to the actual compensation required for each incident.

As of May 29, 2026, the 12 contracting states to the HNS Convention are Belgium, Canada, Denmark, Estonia, France, Germany, the Kingdom of the Netherlands, Norway, Slovakia, South Africa, Sweden, and Türkiye.

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