U.S. Imposes New Fees on Chinese Shipping to Revive Domestic Industry

As the Trump administration introduces fees for Chinese ships docking at U.S. ports to boost domestic shipbuilding, critics warn that this could lead to higher costs for American consumers. The regulations come amid concerns about unfair trade practices by China in the shipbuilding sector.

In an effort to reinvigorate the struggling U.S. shipbuilding industry and diminish China's leading role in global shipping, President Trump announced new regulations on April 18, 2025. The new measures, targeted at Chinese shipping companies, will impose fees for vessels docking in American ports. However, the implementation has been softened after feedback from ocean carriers and importers who feared the regulations could inflate shipping costs significantly.

Under the revised rules, major Chinese shipping companies will be mandated to pay these fees, but exemptions will apply to smaller operations. To bolster domestic shipbuilding, the U.S. government will refund some fees if shipping lines opt to purchase American-made ships within a specified timeframe.

The rationale for these new regulations stems from a belief that China has leveraged unfair trade practices—such as substantial subsidies—to establish a monopoly in the shipbuilding sector, which has, in turn, jeopardized U.S. supply chains. Jamieson Greer, the head of the Office of the United States Trade Representative, heralded the measures as crucial for reversing Chinese supremacy and signaling to the market the need for U.S.-produced vessels.

The origins of the new rules can be traced back to a petition filed during the Biden administration, advocating for a thorough investigation into the shipbuilding practices of China. The investigation, which provided a validating report on how Chinese practices have displaced foreign competition, ultimately laid the groundwork for Trump’s action.

David McCall, president of the United Steelworkers union, expressed approval for the outcome of the investigation, calling the announcement a significant step toward restoring the capacity of U.S. shipbuilding.