The United States has announced plans to impose port fees on shipping companies using Chinese-built vessels to counter China’s shipbuilding and maritime industries.
On Thursday, the Office of the United States Trade Representative (USTR) announced that this decision will affect Chinese shipping companies, operators of Chinese-built vessels, and foreign-built car carriers.
Starting October 14, 180 days from now, with annual increases planned, the new fees will be phased.
Furthermore, the USTR plans to require that a portion of U.S. liquefied natural gas (LNG) exports be transported on domestically built LNG carriers, starting in three years, to promote American LNG shipbuilding.
USTR Representative Jamieson Greer emphasized that shipping and vessels are crucial to U.S. economic security and the free flow of trade. He stated that these measures will help reverse China’s dominance and stimulate demand for American-built vessels.
This move is part of the Trump administration’s strategy to limit the expansion of Chinese shipping companies and shipbuilding while reducing reliance on China in supply chains. President Donald Trump had raised concerns about economic security risks and pledged to revitalize both commercial and military shipbuilding sectors.
China has steadily increased its dominance in the maritime industry in recent decades. According to Clarkson Research, as of 2023, China accounts for 70% of global new ship orders and 40% of maritime trade.
The shipping industry is deeply concerned about the potential severe repercussions of these measures.
Soren Toft, CEO of Mediterranean Shipping Company (MSC), estimates that the Trump administration’s port regulations could add over 20 billion USD in annual costs. U.S. goods exports are expected to decline by 12%, while oil and coal exports may drop by 8%. The American Association of Port Authorities has also warned that the new regulations could disrupt trade flows.
This policy can be seen as part of a broader strategy to protect and strengthen U.S. shipbuilding while reducing China’s influence in shipping and logistics markets. However, these measures could also significantly negatively affect the U.S. economy.
