U.S. Proposes Port Fees on Chinese-Built Ships to Counter Trade Imbalances

The U.S. Trade Representative's sweeping proposal seeks to curb China's dominance in shipbuilding and maritime logistics through hefty fees and new export shipping requirements.

• The U.S. Trade Representative (USTR) has proposed port fees of up to $1.5 million per entry for Chinese-built vessels and Chinese-operated ships as part of a Section 301 trade investigation.
• The proposal aims to address China's significant state subsidies and policies that have allowed it to dominate over 50% of the global shipbuilding market by 2023, up from 5% in 1999.
• The USTR also recommends increasing U.S.-flagged and U.S.-built vessel requirements for exporting goods, starting with 1% of U.S. exports in the first two years and scaling up to 15% over seven years.
• Labor unions and lawmakers have urged President Trump to act swiftly on these measures, citing the loss of tens of thousands of U.S. shipbuilding jobs and the erosion of national security.
• Critics warn the proposed fees could increase costs for U.S. importers, disrupt global shipping, and make U.S. exports less competitive in international markets.

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