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2w ago

U.S. Finalizes Scaled-Back Port Fees on Chinese Ships

The Trump administration will impose net-tonnage fees starting October 14 to counter China's shipbuilding dominance, with annual increases through 2028 and targeted exemptions.

Workers are seen near a vessel under construction at a shipyard of Huanghai Shipbuilding Co in Weihai, Shandong province, China November 6, 2018. Picture taken November 6, 2018. REUTERS/Stringer ATTENTION EDITORS - THIS IMAGE WAS PROVIDED BY A THIRD PARTY. CHINA OUT./File Photo
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Overview

  • The finalized fees will begin at $50 per net ton for Chinese-owned or -operated ships and increase by $30 annually through 2028, assessed per port rotation.
  • A 180-day delay was implemented, and exemptions include short-haul routes under 2,000 nautical miles and smaller vessels carrying fewer than 4,000 TEUs.
  • The measures aim to address China's state-subsidized shipbuilding dominance, which the USTR deemed 'unreasonable' following a nine-month investigation.
  • The USTR also proposed tariffs of up to 100% on Chinese-made ship-to-shore cranes and 20–100% on containers and chassis, with hearings set for May.
  • China, Hong Kong, and U.S. industry groups have criticized the fees, warning of higher shipping costs, supply chain disruptions, and inflationary effects.