Trump Administration to ?unish?carriers with ?oo many?Chinese-built ships?
Source
American Shipper
Post Date
03/03/2025
The US Trade Representative (USTR) this week issued an ?ction proposition?following investigation on ?hina? Targeting of the Maritime, Logistics and Shipbuilding sector for dominance?
The Trump administration found that China? dominance in the field was ?nreasonable?and that it ?urdens or restricts US commerce?
To address this, the USTR submitted a drastic action proposal, targeting both Chinese vessel operators and shipping companies operating Chinese-built ships. The USTR proposes a USD 1M fee for every US port call made by Chinese vessel operators.
For companies operating Chinese-built ships, the proposal is a graduated fee correlated to the proportion of Chinese-built vessels in the carriers fleet and orderbook.
Under this measure, an operator could face a fee of up to USD 1.5M if 50% or more of their active fleet is Chinese-built. A similar fee is suggested for vessels on order.
If an operator calls at US ports and has vessels planned or under construction in China, they will face an additional fee of up to USD 1M if more than 50% of their orderbook is contracted in China.
2% of Top 10 carriers?operated fleet is ?ade in China?Currently, 32% of the container fleet, by number of ships, is made up of Chinese-built vessels.
Proportionally, the Chinese state-controlled COSCO Group (including OOCL) would be the most affected by the potential US measures, with 60% of its current fleet built in China and its entire order book Chinese-built. It is followed by ZIM and CMA CGM, with 43% and 41% of their operated vessels being Chinese-built, respectively.
