AsianFin -- In a significant retaliatory action against China, the United States is proposing hefty charges that could add millions of dollars in costs for ocean container lines and other carriers using U.S. ports.
The United States Trade Representative (USTR) published a proposal on Friday in the Federal Register, suggesting fees as high as $1.5 million per port call for ships built in China. Additionally, $500,000 would be charged to a vessel operator with even a single Chinese-built ship in its fleet or on order with a Chinese shipyard. A $1 million charge would apply to China-based operators such as Cosco, the world’s fourth-largest container line.
This proposal is expected to disrupt the maritime supply chain serving the world’s largest market. Major ocean carriers operate in a complex network of service routes, berthing arrangements, and vessel sharing, and these new charges are likely to be passed on to shippers in the form of surcharges and higher rates, leading to higher prices for imported goods.
The plan also introduces preference rules requiring U.S. export cargo to be transported by U.S.-flagged and crewed ships. This comes after a USTR investigation in January found that China has been leveraging unfair trade practices to dominate global ocean shipping and shipbuilding markets.
The decision to implement the charges rests with President Trump, with comments on the proposal accepted until March 24, when a public hearing has been scheduled.
According to analysts Linerlytica, 17% of container vessels calling U.S. ports are Chinese-built, representing approximately 1.29 million TEUs (twenty-foot equivalent units) of the 28.2 million TEUs imported by the U.S. in 2024.
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