China has announced that it will impose additional port fees on vessels owned or operated by U.S. entities starting October 14. This decision comes as a direct response to planned fees on Chinese ships by the United States, escalating existing tensions between the two economic powers.
Details of the New Port Fees
Beginning on October 14, American vessels and those flagged under the U.S. will incur new charges per voyage at Chinese ports. The Chinese Ministry of Transport states this measure aims to counter the impending U.S. fees on ships related to China.
From the same date, ships built in China, or associated with Chinese companies, will also face fees upon their initial docking at U.S. ports.
Fee Structure for Chinese and U.S. Ships
- For U.S. vessels in Chinese ports:
- Initial charge: 400 yuan ($56.13) per net ton.
- Future increases:
- 640 yuan ($89.81) starting April 17, 2026.
- 880 yuan ($123.52) effective April 17, 2027.
- 1,120 yuan ($157.16) from April 17, 2028.
- For Chinese vessels at U.S. ports:
- Flat fee of $80 per net tonnage per voyage.
Analyzing the Impact
Analysts predict that the fees on Chinese ships may significantly surpass those imposed on U.S. vessels. A ship transporting over 10,000 containers could see fees exceeding $1 million, with potential annual increases through 2028.
The development underscores a broader strategy by the U.S. government to enhance domestic shipbuilding capabilities and counter China’s dominance in maritime trade and military shipping.
Escalating U.S.-China Tensions
Since September, tensions between the U.S. and China have been escalating, particularly following the trade tariff pause which is set to end around November 9. Disputes over tariffs have already led to diminished Chinese imports of American agricultural and energy products.
Industry experts suggest that while these fees may not greatly impact agricultural trade, they reflect China’s continued dissatisfaction with U.S. actions, indicating a complex and strained relationship moving forward. Trade relations are expected to be a significant topic as U.S. President Donald Trump and Chinese leader Xi Jinping prepare to meet at the Asia-Pacific Economic Cooperation (APEC) summit in South Korea later this month.
