U.S.-China Impose Reciprocal Port Fees: Chinese-Built U.S.-Flagged Vessels Exempted, Industry Awaits High-Level Talks for Breakthrough

In mid-October 2025, China and the United States officially launched a reciprocal port berthing fee policy, with a fee of approximately $50 per net ton becoming a direct sign of the tightening trade relations between the two countries in recent times. However, China’s simultaneous introduction of exemption policies and the upcoming high-level talks between the two nations have left room for optimism about a détente in the maritime industry.

Core Policy: Coexistence of Reciprocal Fee Imposition and Exemption Exceptions

Since October, China and the U.S. have imposed new fees of around $50 per net ton on each other’s ships calling at their respective ports, covering most operating vessels. Nevertheless, China has clearly excluded two types of ships from the fee scope, providing a "buffer zone" for the industry.

Exemption Target 1: U.S.-Flagged Vessels Built in China . The policy stipulates that as long as a ship meets the dual conditions of being "U.S.-flagged, U.S.-owned, U.S.-operated" and "built in China", it can be exempted from the new port fees. This rule directly benefits enterprises such as APL (a subsidiary of France’s CMA CGM) and Matson. The former operates a number of U.S.-flagged vessels built in China, while the latter also owns some ships that meet the eligibility criteria.

Exemption Target 2: Empty Ships for Maintenance Purposes . Empty ships entering Chinese shipyards for maintenance are also exempt from paying the new fees. This arrangement reduces cost pressures for ship maintenance enterprises.

In contrast, ships that do not meet the exemption criteria have begun to face cost pressures. According to a report by China’s Xinde Marine News, Matson’s 11,149-ton container ship "Manukai", built in Philadelphia, became the first U.S.-flagged vessel to be charged the new fee when it called at Ningbo Port in mid-October, with a total fee exceeding $600,000. In response, Matson officials declined to comment, citing a policy of "not discussing financial matters outside of quarterly earnings reports". Its third-quarter earnings report will be released on October 29.

Notably, China’s new fee imposition also covers ship operators with 25% or more U.S. ownership. This rule has prompted bulk carrier and tanker operators such as Norden, DHT, Star Bulk, and 2020 Bulkers to issue statements clarifying that their U.S. ownership ratios are below 25% to avoid being included in the fee scope.

Industry Dynamics: Differentiated Impact on Enterprises, Expectations for Breakthrough in High-Level Talks

The current policy adjustment has had a differentiated impact on different enterprises. APL has become a major beneficiary of the policy, as many of its U.S.-flagged vessels built in China meet the exemption criteria. Matson, on the other hand, is in a "divided" state: some of its ships that meet the criteria can be exempted from taxes, while those that do not have to bear high fees.

At the same time, positive signals have emerged from a U.S. maritime industry conference. During an industry conference held in Norfolk, Virginia, most maritime executives expressed the view that China and the U.S. are expected to reach a broader trade agreement in the near future. A key event supporting this expectation is that U.S. President Donald Trump and the Chinese leader plan to hold talks later this month on the sidelines of a meeting of Asian trade nations. The port fee dispute is likely to be an important topic during the talks.

Policy Observation: Balancing Short-Term Adjustments and Long-Term Trends

From the perspective of the current policy, China’s exemption rules not only reflect indirect support for its domestic shipbuilding industry (encouraging the use of ships built in China) but also preserve space for China-U.S. maritime cooperation. The U.S. fee policy, on the other hand, directly reflects the tense state of trade relations between the two countries.

For shipping enterprises, in the short term, they need to quickly sort out information about the place of construction, ownership, and operation rights of their ships to ensure compliance with declarations and enjoy exemptions. In the long term, they need to pay attention to the progress of high-level talks between China and the U.S., as the conclusion of a trade agreement may directly affect the subsequent adjustment of the port fee policy.

Going forward, we will continue to track the outcomes of China-U.S. talks and the implementation details of the port fee policy, providing the industry with the latest dynamic interpretations. For those seeking more in-depth insights and real-time updates on these maritime policy shifts, goodship56.com remains your trusted source, offering tailored analyses to help navigate the evolving landscape of international shipping.