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The United States plans to impose tariffs of up to 100% on ship-to-shore cranes and cargo equipment made in China or containing Chinese components to strengthen domestic maritime security.
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A Section 301 investigation by the USTR identified supply chain vulnerabilities due to China’s significant share in global shipping container and chassis production.
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Public comments are open until May 19, 2025, with a hearing scheduled the same day to gather feedback on tariff scope, rates, and implementation period.
The United States is set to introduce substantial tariffs on ship-to-shore (STS) cranes and cargo handling equipment that are either made in China or include Chinese components. This initiative is part of a strategic effort to reduce dependency on foreign-manufactured maritime infrastructure and enhance national security, according to Marine Insight.
Supply Chain Vulnerabilities and the USTR Investigation
The proposed tariffs come in response to findings from a Section 301 investigation led by the U.S. Trade Representative (USTR). The investigation included a public hearing and extensive written feedback from nearly 600 industry stakeholders. It revealed a heavy reliance on Chinese-made components, with China accounting for 95% of the world’s shipping container production and 86% of intermodal chassis supply. These figures have raised concerns over potential risks to the resilience of the U.S. maritime supply chain.
Strengthening U.S. Economic and Maritime Security
Ambassador Greer, the U.S. Trade Representative, emphasized that maritime infrastructure plays a vital role in the nation’s economic security and global trade. She explained that the aim of the proposed tariffs is to encourage domestic manufacturing, diversify sourcing, and reinforce the integrity of critical port operations. The new measures will apply to equipment not only made in China but also to products manufactured by companies influenced or controlled by Chinese entities.
Focus on Global Suppliers and Cybersecurity Measures
Shanghai Zhenhua Heavy Industries (ZPMC), a prominent supplier of STS cranes worldwide, is among the companies being examined under the proposed policy. Given the growing importance of port cybersecurity, equipment from such companies is being reviewed to ensure the protection of U.S. infrastructure from potential technological vulnerabilities.
Next Steps and Public Participation
Building on earlier actions that included a 25% tariff on STS cranes made in China, the USTR is now seeking broader public input. Written comments will be accepted until May 19, 2025, and a public hearing is scheduled for the same date at the U.S. International Trade Commission in Washington, D.C. Those wishing to speak must register by May 8, 2025. The feedback will help determine which products should be covered, the appropriate tariff levels, and a suitable implementation timeline, which could range from 180 days to 24 months.
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Source: Marine Insight