USA is considering new fees for ships docking at its ports if they are linked to fleets that include Chinese-built or Chinese-flagged vessels. According to a draft executive order dated February 27, this move aims to strengthen the U.S. shipbuilding industry and reduce China’s growing dominance in global shipping.
China’s shipbuilding sector has expanded rapidly, now producing over 50% of the world’s cargo shipping capacity. This marks a sharp rise from just 5% in 1999. Meanwhile, U.S. ship production has significantly declined since its peak in the 1970s. The new measure is part of broader efforts to counter China’s influence in maritime trade.
Under the proposed policy, ships belonging to fleets that contain Chinese-built or Chinese-flagged vessels would be subject to additional docking fees when entering American ports. Earlier recommendations from the U.S. Trade Representative’s office suggested fees as high as $1.5 million per Chinese-built ship. However, the draft executive order does not include an earlier idea to impose fees on fleets where Chinese-built vessels make up at least 25% of their total.
The proposal also urges U.S. allies to introduce similar restrictions. Countries that refuse may face trade consequences. Additionally, the order includes tariffs on Chinese-made cargo-handling equipment, reflecting Washington’s concerns that China’s activities in shipping, logistics, and shipbuilding pose risks to both national security and economic stability.
This initiative highlights ongoing tensions between the U.S. and China over trade and industrial policy. If implemented, the fees could reshape global shipping routes and increase costs for companies operating in American ports.
