U.S. Imposes Toughest-Ever Port Fees on Chinese Ships

The U.S. Trade Representative (USTR) has formally announced a new phased port fee policy targeting all vessels linked to China—whether operated by Chinese companies or built in China. These ships will incur fees based on size and origin when docking at U.S. ports. The maximum fee: $140 per net ton, up to five charges per year per vessel—potentially reaching several million dollars per route.

How Are the Fees Structured?

 Two categories of charges apply:

Chinese-operated vessels (regardless of build origin):

2.  180-day grace period (no fee)

3.  From Year 1: $50/net ton, increasing to $140 by April 2028

4.  Capped at 5 charges/year per ship

China-built vessels (regardless of ownership):

2.  Same 180-day grace period

3.  Starts at $18/net ton, increasing to $33 by 2028

4.  If per-container fee ($120, rising to $250) is higher, it overrides the per-ton rate

⚠️ Fees are charged per vessel per U.S. trade loop, not per port call.

Who Is Exempt?

 Exemptions include:

•  U.S.-flagged ships using Chinese builds for domestic/coastal routes

•  Specialized vessels (e.g., for liquids or government cargo)

•  Empty ships arriving to load exports

•  Ships under 4,000 TEUs or <55,000 DWT

•  Ships departing from ports <2,000 nautical miles away

•  Ships owned and 75% controlled by U.S. citizens

•  Vessels operating solely on the Great Lakes

A transitional incentive also applies: operators switching to U.S.-built vessels within 3 years can get up to 3 years of fee waivers on existing China-built ships.

Ro-Ro and LNG Vessels Included

Auto carriers (Ro-Ro ships) will face $150 per CEU after 180 days.

 Separately, LNG carriers will be subject to phased foreign-vessel restrictions over 22 years to boost domestic shipbuilding.

Pushback from Industry

Critics argue that U.S. shipbuilding is too costly and slow to scale. Nate Herman of the American Apparel & Footwear Association warns port fees could reach $1.5 million per call, raising freight rates, reducing GDP, and hurting exporters, workers, and small ports. The World Shipping Council also opposes the policy, calling it costly and ineffective in revitalizing U.S. shipbuilding.

Window for Strategic Realignment

Though the fees are per route, not per call, operators using large China-built vessels still face high costs. The initial 180-day grace period offers a critical window to redesign routing and shift mega-vessels off U.S. routes to minimize impact.