WHAT’S THE LATEST

On April 17, 2025, the Office of the U.S. Trade Representative (USTR) unveiled a multi-phase plan to impose port fees on Chinese-linked shipping, aiming to counter China's dominance in global shipbuilding and strengthen U.S. maritime capabilities.

WHAT WE KNOW

Phase 1 – Maritime Vessel Fees (Effective After 180-Day Grace Period)

  • Chinese-Owned and Operated Vessels:
    • Fee Structure: $50 per net ton of vessel capacity per U.S. voyage, assessed at first point of entry. Increases annually by $30 per ton, reaching $140 per net ton by 2028.
    • Assessment Cap: Maximum of five charges per vessel per year.
  • Non-Chinese Operators Using Chinese-Built Vessels:
    • Fee Structure: $18 per net ton or $120 per container discharged — whichever is higher. Increases annually by $5 per ton, reaching $33 per ton or $250 per container by 2028.
    • Assessment Cap: Maximum of five charges per vessel per year.
  • Example Impact:
    • A 13,000 TEU Chinese-operated vessel (63,544 net tons) could incur approximately $3.2M in fees per U.S. port call.
    • A similar vessel operated by a non-Chinese-operated carrier would incur approximately $1M.
  • Fees on Foreign-Built Vehicle Carriers:
    • New service fees for foreign-built vehicle carriers will be implemented based on Car Equivalent Unit (CEU) capacity.
    • Fee Structure: After the 180-day grace period, the rate will be $150 per CEU.

Phase 2 – Liquified Natural Gas (LNG) Export Restrictions (Effective Starting April 17, 2028)

  • Requires a portion of U.S. LNG exports to be transported on U.S.-built vessels.
  • Gradual implementation over 22 years, acknowledging current U.S. limitations in LNG shipbuilding capabilities.

Exemptions and Caps

  • The USTR has outlined exemptions for:
    • U.S.-owned vessels (at least 75% U.S.-beneficial ownership).
    • Vessels in U.S. Maritime Administration programs.
    • Smaller vessels and vessels in ballast.
    • Short sea shipping trades and certain specialized export vessels.
    • Additional exemptions may be considered based on geographic operations or vessel classifications.

Proposed Tariffs on Chinese Ship-to-Shore (STS) Cranes

  • Tariffs up to 100% proposed on:
    • Cranes manufactured in China.
    • Cranes made by entities “owned, controlled, or substantially influenced by a Chinese national.”
    • The move follows findings that China “overwhelmingly controls global production” of STS cranes, creating potential vulnerabilities in U.S. port operations.

WHAT'S NEXT?

Our team is actively monitoring developments day by day, ensuring we have the latest information to guide our clients.

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