Abstract. In polar regions, glaciers are retreating onto land, gradually widening ice-free coastal waters which are known to act as new sinks of atmospheric carbon. However, the increasing delivery of inorganic suspended particulate matter (iSPM) with meltwater might significantly impact their capacity to contribute to carbon sequestration. Here, we present an analysis of satellite, meteorological, and SPM data as well as results of the coupled physical-biogeochemical model (1D GOTM-ECOSMO-E2E-Polar) with the newly implemented iSPM group, to show its impact on the ecosystem dynamics in the warming polar fjord (Hornsund, European Arctic). Our results indicate that with a longer melt season (9 days per decade, 1979–2022), loss of sea ice cover (44 days per decade, 1982–2021) and formation of new marine habitat after the retreat of marine-terminating glaciers (around 100 km2 in 1976–2022, 38 % increase in the total area), glacial meltwater has transported increasing loads of iSPM from land (3.7 g·m−3 per decade, reconstructed for 1979–2022). The simulated light limitation induced by iSPM input delayed and decreased phytoplankton, zooplankton, and macrobenthos peak occurrence. The newly ice-free areas markedly contributed to the plankton primary and secondary production, and carbon burial in sediments (5.1, 2.0, and 0.9 GgC per year, respectively, average for 2005–2009 in the iSPM scenario). However, these values would have been higher by 5.0, 2.1 and 0.1 GgC per year, respectively, without iSPM input. Carbon burial was the least affected by iSPM (around 16 % decrease in comparison to 50 % for plankton primary and secondary production) and thus the impact of marine ice loss and enhanced land-ocean connectivity should be investigated further in the context of carbon fluxes in expanding polar fjords.