In response to new retaliatory port fees imposed by China on U.S.-linked vessels, crude oil tanker operator DHT Holdings clarified its ownership and operational structure to affirm that its fleet should not fall under the scope of the charges.
China’s Special Port Fee Criteria
China’s countermeasure, which took effect on October 14, targets vessels with a significant link to the U.S. These fees apply to ships that are:
- U.S. built, flagged, or operated.
- Owned or operated by companies where U.S.-domiciled investment funds hold 25% or more of the shares, voting rights, or board seats.
DHT Holdings’ Fleet Exemption Basis
DHT Holdings detailed several factors regarding its fleet and corporate structure that it believes exempts its vessels from the new Chinese port fee.
- Vessel Details
- Each ship in the fleet is directly owned by a non-U.S. entity.
- Vessels were built in a non-U.S. jurisdiction.
- The fleet does not fly the U.S. flag.
- Operations are managed from management companies in Monaco, Norway, Singapore, and India.
- Corporate Control and Ownership
- U.S. nationals represent only 20% of the company’s board composition, which is below the 25% threshold.
- The company is not aware of any U.S. shareholders or reporting groups that control 25% or more of DHT’s shares or voting rights in the aggregate.
Shareholder Verification Caveat
The company acknowledged the difficulty in verifying all owners, stating that it “cannot accurately verify the ownership of each individual shareholder” since the majority of its shares are held through custodians and brokers. However, based on publicly available beneficial ownership reports, the company’s U.S.-linked ownership remains below the critical 25% control threshold.
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Source: Reuters
