By Costas Paris
In this weekend's trade talks between the U.S. and China, there will be talk about tariff levels and discussions of the issue of fentanyl. One other subject expected to be brought to the table: new U.S. port fees on Chinese-made and operated vessels.
Last month, the U.S. Trade Representative announced a roster of fees on foreign vessels using American ports. The toughest duties were aimed at Chinese operators that sail Chinese-made vessels, hitting the state-owned Cosco Shipping hard.
According to people who consult with Chinese officials, this is one of the key concerns for Beijing and it will likely be raised in the negotiations this weekend.
The port fees are part of President Trump's strategy to revitalize the American shipping industry. He signed an executive order in April that includes financial incentives for investments in U.S. shipyards.
"Chinese carriers have been targeted in a way that leaves them with limited options," French-based shipping adviser Alphaliner said.
State-owned Cosco is the world's largest ship owner in terms of overall fleet size and the fourth-biggest container ship operator with nearly 600 vessels. Dozens of Cosco liners call at U.S. ports such as Long Beach, Calif., New York and Houston every week, bringing thousands of containers packed with Chinese exports. Cosco represents a fifth of the weekly container ship calls at Long Beach, according to the port.
Cosco said the new port fees "not only distort fair competition and impede the normal functioning of the global shipping industry, but also threaten its stable and sustainable development."
Shipping and port executives said they expect the tariff talks with China to last until July, which is the start of the peak shipping season, when big American retailers like Amazon and Walmart bring in cargo for the year-end holidays.
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May 09, 2025 17:00 ET (21:00 GMT)
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