Post by : Rameen Ariff

The United States and China will start charging port fees on ocean shipping companies from October 14, escalating trade tensions between the world’s two largest economies. The fees will apply to ships carrying everything from crude oil to holiday goods.

Earlier this year, the Trump administration announced plans to impose fees on China-linked vessels to reduce China’s influence on global maritime trade and support US shipbuilding. A previous investigation during the Biden administration found that China used unfair policies to dominate global shipping, logistics, and shipbuilding, paving the way for these penalties.

Analysts expect China-owned container carrier COSCO to be most affected, facing nearly half of the estimated $3.2 billion cost in 2026 from these fees. In response, China will also start charging port fees on US-linked ships beginning Tuesday. According to Jefferies analyst Omar Nokta, 13% of crude tankers and 11% of container ships worldwide could be impacted.

Athens-based Xclusiv Shipbrokers warned that this tit-for-tat approach could distort global freight flows as both countries are locked into maritime taxation measures.

The tension comes amid additional trade measures from the US. Former President Trump recently threatened 100% tariffs on Chinese goods and new export controls on critical software. US officials also warned that countries supporting the United Nations’ plan to reduce greenhouse gas emissions from shipping could face sanctions, port bans, or extra fees. China has publicly supported the UN initiative.

Xclusiv noted that these developments show how shipping is no longer just a channel for global trade but has become a tool of state policy.

#Global #News