U.S. Trade Probe Finds China's Shipbuilding Practices Unfairly Harm U.S. Economy

The USTR's Section 301 investigation highlights China's dominance in shipbuilding and maritime sectors, raising concerns over fair competition and economic security.

• The U.S. Trade Representative's office concluded a Section 301 investigation, finding China's shipbuilding and maritime policies 'unreasonable' and harmful to U.S. commerce.
• The report alleges that China's state-subsidized shipbuilding sector undermines fair competition, displaces foreign firms, and creates global supply chain vulnerabilities.
• The U.S. builds fewer than five ships annually, compared to China's production of over 1,700 ships, a stark contrast to the 1970s when the U.S. led global shipbuilding.
• China's Ministry of Commerce rejected the findings, claiming they are politically motivated and based on false accusations.
• The findings pave the way for potential U.S. actions, including tariffs or port fees, with bipartisan legislation also proposed to revitalize American shipbuilding and reduce reliance on Chinese vessels.

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