The United States has moved to suspend a set of port fees introduced only weeks earlier, which were designed to target China’s dominance in global shipbuilding and maritime logistics, reports gCaptain.
The fee suspension takes effect on November 10, 2025, and runs for one year until November 9, 2026. These fees had been active for less than a month before the pause was announced.
The fee initiative
In early 2025, following a petition under Section 301, the Office of the U.S. Trade Representative (USTR) determined that China’s shipbuilding and maritime-industrial policies were “unreasonable” and unfair. In response, the U.S. instituted fees on certain vessels: Chinese-owned ships, operators of Chinese-built ships, and foreign-built vehicle carriers docking at U.S. ports. The objective was to penalise those benefiting from China’s heavily subsidised shipbuilding industry, while signalling support for reviving U.S. shipbuilding capability.
One estimate placed the annual revenue from these fees at around **US $3.2 billion**, had they remained in force. The fees also came alongside proposed tariffs on Chinese-made port equipment, such as ship-to-shore cranes.
Suspension & Trade truce
However, following discussions between U.S. President Donald Trump and Chinese President Xi Jinping in South Korea, the U.S. agreed to pause these fees and related tariffs for the full 12-month term starting November 10. China, in turn, agreed to suspend its retaliatory fees on U.S.-linked vessels.
The suspension covers the fees under the three Annexes of the original fee regime, along with the proposed tariffs on cranes and cargo-handling equipment.
The decision has generated sharply contrasting responses. Many in the maritime logistics sector welcomed the pause as a way to reduce immediate cost pressure and provide clarity for investment decisions. Shipping-industry executives argued the fee regime introduced uncertainty into vessel procurement, routing decisions and long-term capital planning.
By contrast, key labour unions and U.S. shipbuilding advocates reacted with disappointment. They view the pause as a setback for efforts to revitalise America’s maritime industrial base, arguing that the window of pressure on China’s dominance is being closed prematurely, and that U.S. shipyards and workers may lose negotiating leverage.
Strategic implications and the Questions ahead
The suspension raises critical questions about the U.S. strategy for maritime industrial renewal. The original fee regime formed a cornerstone of a broader U.S. policy push – including executive orders and funding commitments – to rebuild shipbuilding capacity and reduce dependence on foreign-built vessels. With the enforcement component now paused, the U.S. will rely on negotiation with China and collaboration with allies instead of punitive tariff measures.
The shipbuilding imbalance remains stark: in 2025 China is estimated to account for well over 50 % of all global ship orders by tonnage, while the U.S. commercial shipbuilding sector builds fewer than five ships annually and ranks outside the global top-ten. Whether the negotiation track will deliver meaningful structural changes remains uncertain.
Did you subscribe to our daily Newsletter?
It’s Free Click here to Subscribe!
Source: gCaptain
