USTR Proposes Section 301 Action Against China for Targeting Maritime, Logistics, and Shipbuilding

As a result of its 2024 investigation, the USTR proposes to impose certain fees and restrictions on international maritime transport services related to Chinese ship operators and Chinese-built ships. The comment period ends March 24, 2025, the date on which the USTR will hold a public hearing. The address of the online comment portal is in the notice. The USTR webpage provides links to public documents related to the initial petition, report, and determination.

Proposed actions include:

• Service fees on Chinese maritime transport operators - $1 million per entry into a U.S. port of any China-operated vessel, or up to $1,000 per net ton of the vessel’s capacity
• Service fees on maritime transport operators with fleets comprised of Chinese-built vessels
• Service fees on maritime transport operators with prospective orders for Chinese vessels
• Service fee remission for maritime transport via U.S.-built vessels
• Restrictions on services to promote the transport of U.S. goods on U.S. vessels – phased requirements that U.S. goods exported by vessel must be exported on U.S.-flagged vessels by U.S. operators 

The proposed actions may have an impact on importers and exporters, including:

• Increased freight costs
• Reduced carrier availability
• Limited export options for U.S. exporters

Schenker will continue to monitor the status of these proposed actions and will communicate as more information becomes available.