While businesses have been closely following the Trump administration›s tariff policies, the seven-figure port fee proposal from the US Trade Representative (USTR) could have even deeper effects on American shipping interests. If adopted, Chinese-built ships – and global operators who use Chinese-built ships elsewhere – would have to pay millions of dollars for every port call in the US Exporters would be required to ship an increasing percentage of their goods on US-flagged tonnage, and eventually on scarce US-built tonnage. This plan›s steep costs could be enough to put some smaller companies out of business, drive others away from American shores, or end some categories of American exports altogether, maritime businesses and shippers warned in comments to the USTR.
ACL, the conro specialist that operates in Transatlantic trade, handles more than half of the American heavy machinery and equipment exports from New York, Baltimore and Norfolk to Europe. It is the only US-headquartered carrier serving these American manufacturers on the East Coast. In a submission to the USTR, ACL explained that it went to China to buy all five of its specialised new conros because no one else would build them. In 2012, the few qualified US yards said that they were booked seven years out with Navy work; Japanese yards didn›t want to bid on such a small series; and Korean yards said that it wasn›t worth the cost of doing a design for just five vessels. When ACL asked around in China, it received a competitive offer, and the vessels got built under class supervision in Shanghai.
If the multi-million-dollar fees went into effect, ACL said, it would make the company «totally uncompetitive versus the other carriers in the US trades,» and ACL would be forced to shut down its US operations. It would cease services, close its US headquarters, lay off its staff and leave American shippers using foreign shipping services. Those foreign operators would become dramatically more expensive, ACL warned. – The Maritime Executive
