# One of the biggest environmental regulations ever is coming and it will wreak havoc - FreightWaves

> A FreightWaves CEO column argues the IMO 2020 rule, cutting marine fuel sulfur from 3.5% to 0.5% from January 1, 2020, will strain small trucking carriers. It notes limited low-sulfur refining capacity will force refiners to choose between ULSD and marine fuel.

- Date: 2019-06-14 · published 2019-06-14T12:00:00.000Z
- Category: macro · region Global · magnitude medium
- Page: https://feedsoft.ai/events/58770-one-of-the-biggest-environmental-regulations-ever-is-coming-and-it-will-wreak
- Commodities: [ULSD / Diesel](https://feedsoft.ai/c/DIESEL.md), [Ocean Grain Freight](https://feedsoft.ai/c/OCEANFRT.md)

## Why it matters

Competition for refinery capacity between ULSD and compliant marine fuel points to higher diesel prices and higher ocean freight costs for feed commodities.

## Read by commodity

- DIESEL: bullish ▲
- OCEANFRT: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DIESEL | 2019-12-11 | [Reaction in the diesel market to IMO 2020 is still to come: Platts - FreightWaves](https://feedsoft.ai/events/55751-reaction-in-the-diesel-market-to-imo-2020-is-still-to-come-platts-freightwaves.md) | +3.5% | -0.9% |
| DIESEL | 2019-06-23 | [Connecting all the bones to project what will happen when IMO2020 hits the market - FreightWaves](https://feedsoft.ai/events/58769-connecting-all-the-bones-to-project-what-will-happen-when-imo2020-hits-the.md) | +1.2% | -0.8% |
| DIESEL | 2022-06-14 | [Diesel prices: The loss of US refining capacity is making things worse - FreightWaves](https://feedsoft.ai/events/41119-diesel-prices-the-loss-of-us-refining-capacity-is-making-things-worse.md) | +1.9% | -13.9% |
| DIESEL | 2019-03-18 | [The outlook of one energy economist for IMO2020: chaos in the diesel market - FreightWaves](https://feedsoft.ai/events/60275-the-outlook-of-one-energy-economist-for-imo2020-chaos-in-the-diesel-market.md) | -0.0% | +5.3% |
| DIESEL | 2020-11-16 | [DOE/EIA average retail diesel price takes biggest jump in more than a year - FreightWaves](https://feedsoft.ai/events/50323-doe-eia-average-retail-diesel-price-takes-biggest-jump-in-more-than-a-year.md) | +7.0% | +20.8% |

## Sources

- freightwaves.com: https://www.freightwaves.com/news/one-of-the-biggest-environmental-regulations-ever-is-coming-and-it-will-wreak-havoc

---
Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.