According to a Bloomberg, container ships are becoming a new focal point in Donald Trump’s trade offensive against China.
A proposal backed by Trump would impose a fee of at least $1 million every time a Chinese-built or Chinese-operated vessel docks at a U.S. port. The goal is to incentivize domestic shipbuilding, but the policy could impose steep costs on major global shipping lines, many of which rely heavily on Chinese shipyards.
Bloomberg notes that shipping giants like MSC and Maersk have significant exposure, with around a quarter of their fleets built in China and more than 70% of their new vessels on order from Chinese yards.
Despite the risk of higher fees, companies continue to double down on China, placing new “megamax” ship orders there. Analysts say that to avoid these potential levies, some carriers are already rerouting China-built ships away from U.S.-bound trade, which could drive up congestion and freight rates.
Chinese operators like Cosco may face the brunt, with potential fees as high as $3.1 million per port call. Research cited by Bloomberg estimates the levies could generate between $40 billion and $52 billion for the U.S. government.
