WHAT’S THE LATEST

On February 21, the U.S. Trade Representative (USTR) began accepting public comments on proposed trade actions against China's maritime, logistics and shipbuilding industries. The investigation conducted under Section 301 of the Trade Act of 1974 found that China's policies unfairly impact U.S. trade. These measures could add millions of dollars in costs for ocean container lines and other carriers operating U.S. ports.

For more information on the investigation, read the following press release from USTR.

WHAT WE KNOW

USTR has proposed the following: 

  • Charging U.S. port service fees on Chinese Maritime Transport Operators of up to $1 million per vessel entrance or up to $1,000 per net ton of the vessel’s capacity.
  • Imposing additional fees on prospective orders for Chinese vessels and on operators with fleets comprised of Chinese-built vessels.
  • Additionally, USTR is proposing to set restrictions on which vessels may export U.S. products per calendar year. The restrictions for the first year include a requirement that:
    • Year 1: 1% of all U.S. exports must be transported by U.S.-flagged vessels by U.S. operators.
    • Year 2: Increases to 3%
    • Year 3: Increases to 5%
    • Year 7: Reaches 15%

WHAT’S NEXT?

Interested parties are encouraged to participate in the public comment period, which closes March 24, 2025.

If you have questions, please reach out to your SEKO representative, or email us at hello@sekologistics.com.