Washington Suspends Port Fees — A Turning Point for U.S.–China Shipping?

EN CONTENT:

The U.S. Trade Representative (USTR) announced that starting November 10, 2025 (12:01 a.m. EST), it will suspend for one year the port fees on all China-built cargo ships docking at American ports.

This move ends months of turbulence that rattled the global shipping market and may mark a subtle shift in U.S.–China trade relations.

Why Port Fees Suspension Matters

For exporters and carriers on U.S.–China routes, removing the port fee instantly cuts operating costs and hints at a thaw in bilateral tensions.

The fee, which took effect October 14, stemmed from a Biden-era probe accusing China of unfair dominance in shipbuilding.

 Vessels built in China were charged $50 per net ton per voyage, meaning millions of dollars per trip for large ships.

China’s Quick Response

Beijing followed suit, dropping retaliatory port fees on U.S.-flag ships, a move linked to last month’s Trump–Xi meeting in South Korea, where both leaders reached a broad trade accord.

But during the one-month enforcement period, the costs hit hard. Some carriers reshuffled routes and cut capacity, while joint ventures saw U.S. board members resign over ownership-related penalties.

 Even with limited exemptions for empty bulk ships loading U.S. farm and energy goods, the rule was widely viewed as a stopgap concession.

Industry Reactions to the Port Fees Policy Shift

COSCO and OOCL kept their routes unchanged, absorbing the fees.

 In contrast, several U.S. and European operators reduced sailings or delayed schedules to spread losses.

Though the suspension eases short-term pressure, critics warn it weakens Washington’s leverage over China’s shipbuilding ambitions.

Strategic Backlash

Before announcing the pause, USTR gave the public just one day to comment.

 Maritime analyst Hunter Stires called the move a “major strategic mistake”, noting that the U.S. dropped fees on 10,000 Chinese ships in exchange for China lifting charges on only 183 American vessels.

He urged the U.S. to rally allies into a multilateral port fee regime to counter China’s dominance and rebuild fair competition in global shipping.

The suspension may stabilize trade routes and lower logistics costs, but whether Washington can leverage this pause to revive U.S. shipbuilding remains uncertain.

 Ultimately, port fees have become more than a tariff issue—they’re now a barometer for U.S.–China trade realignment.