The International Maritime Organization (IMO) announced that the international convention governing liability and compensation for damage arising from the maritime transport of hazardous and noxious substances (HNS) will officially enter into force in November, 2027, marking a major milestone for the global shipping industry.
The development comes as maritime trade increasingly relies on the transport of chemicals, liquefied gases, alternative fuels, and other potentially hazardous cargoes, creating new challenges for risk management and compensation frameworks.
The IMO confirmed that all conditions required for the entry into force of the 2010 HNS Protocol were fulfilled on May 29, 2026. Under the treaty's provisions, the convention will become effective 18 months after those requirements are met.
IMO Secretary-General Arsenio Dominguez described the achievement as a significant step forward for international maritime governance.
"The entry into force of the HNS Protocol closes a major gap in the global liability and compensation regime for shipping," Dominguez said. "The treaty will ensure that victims of incidents involving hazardous cargoes receive fair and timely compensation while providing legal certainty for governments and industry participants."
The HNS Convention complements existing IMO compensation systems covering oil pollution and shipwreck-related damages, extending protection to a much broader range of hazardous and noxious substances transported by sea.
The treaty covers damages arising from more than 2,000 hazardous substances, including: Chemicals, Petroleum products, Acids, Fertilizers, Alcohols, and Liquefied Natural Gas (LNG), as well as Liquefied Petroleum Gas (LPG).
Compensation may cover death, personal injury, property damage, environmental restoration costs, cleanup expenses, and economic losses resulting from maritime accidents involving covered cargoes.
The convention is based on the internationally recognized "polluter pays" principle. Shipowners will be subject to strict liability for damages up to specified limits and will be required to maintain certified insurance coverage or equivalent financial guarantees.
In cases where damages exceed the shipowner's liability limits, additional compensation will be available through the newly established HNS Fund, financed by contributions from cargo receivers in member states after an incident occurs.
The maximum compensation available under the convention is set at 250 million Special Drawing Rights (SDRs) per incident, equivalent to approximately $360 million at current exchange rates.
The IMO estimates that approximately 65,000 vessels worldwide will be required to obtain HNS insurance certificates or other approved financial security arrangements once the convention enters into force.
The new framework is expected to significantly strengthen financial protection for coastal states, businesses, and communities affected by maritime incidents involving dangerous cargoes.
As of May 29, 2026, twelve countries had ratified the 2010 HNS Protocol, satisfying the treaty's entry-into-force requirements.
The contracting states include Belgium, Canada, Denmark, Estonia, France, Germany, Netherlands, Norway, Slovakia, South Africa, and Sweden, as well as Turkey.
The treaty also met the requirement that participating states collectively report at least 40 million tonnes of contributing cargo, confirming sufficient industry participation to support the compensation mechanism.
The implementation of the HNS Convention is widely viewed as one of the most important developments in maritime liability law in recent decades.
As global shipping adapts to growing volumes of chemicals, alternative fuels, and energy-transition cargoes, the treaty establishes a dedicated international framework designed to ensure victims are compensated while maintaining legal and financial certainty for shipowners, insurers, and cargo interests.
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