US targets China ships, operators with millions of dollars in new port charges
US targets China ships, operators with millions of dollars in new port charges

United States Trade Representative Proposes Fees Up to $1.5 Million Per Call

In a significant retaliatory action against China, the United States is considering imposing hefty fees that could increase costs for ocean container lines and other carriers docking at U.S. ports.

The proposal, issued by the U.S. Trade Representative (USTR) and published in the Federal Register on Friday, suggests charges as high as $1.5 million for ships built in China making a U.S. port call. Additionally, vessel operators with even one Chinese-built ship in their fleet or on order from a Chinese shipyard would incur fees of $500,000. A $1 million fee per call would apply to China-based vessel operators, including Cosco, one of the world’s largest container lines.

This plan could disrupt the maritime supply chain serving the largest market globally. Major ocean carriers operate through a complex network of cooperation, involving service routes, berthing arrangements, and vessel sharing. As a result, carriers are likely to pass these steep new fees onto shippers as surcharges and increased rates, ultimately leading to higher prices for imported goods.

The proposal, which also introduces new preference rules requiring U.S. export cargo to be transported by U.S.-flagged and crewed ships, stems from a USTR investigation in January that revealed China’s use of unfair trade practices to gain control over the global ocean shipping and shipbuilding markets.

The decision to implement these charges will be made by President Trump. Public comments regarding the plan will be accepted until March 24, with a public hearing scheduled by the USTR.

Approximately 17% of the container vessels calling at U.S. ports are Chinese-made, equating to 1.29 million of the 28.2 million TEUs (twenty-foot equivalent units) imported by the U.S. in 2024, according to analysts at Linerlytica.