The Ministry of Transport is considering piloting carbon trading or a carbon tax in the domestic shipping business, the Economic Information Daily reported on Monday.
The ministry has researched different market measures to cut carbon emission in China's shipping business, and either carbon trading or a carbon tax may be adopted.
The final plan has yet to be drawn up, but the measures are likely to include slowing down the speed of ships.
According to the newspaper, Zhang Shouguo, deputy president of China Shipowners' Association, warned that if a carbon tax is levied, some weak shipping companies will die as the price of shipping in China had already dropped below the cost.
The European Commission issued a statement on Oct 1 saying it was working toward a global solution to reduce greenhouse gas emissions from international shipping.
But the Chinese government said it will delay the introduction of unilateral measures, which some developed economies have adopted.
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