China’s state-owned giant COSCO Shipping has strongly opposed the recent US move targeting China’s maritime logistics and shipbuilding sectors, calling it “discriminatory” and “harmful” to global trade stability.
In response to the Office of the United States Trade Representative (USTR)’s new decision concerning the Section 301 investigation into China’s dominance in the maritime industry, COSCO has underscored that it not only “distorts fair competition” but also hinders the “normal functioning of the global shipping industry.”
Ultimately, the corporation stressed, the USTR’s move(s) could pose a threat to the “stable and sustainable” progress of maritime transportation, undermining its security and resilience.
Other than COSCO Shipping, a number of companies and entities from China have voiced their own concerns about the path going forward.
As understood, the China Association of National Shipbuilding Industry (CANSI) has criticized the US for “unjustly” cracking down on the country’s shipbuilding sector under what the organization has described as a “flawed investigation.” What is more, the China Shipowners’ Association (CSA) has joined CANSI’s and COSCO’s worries, stating that the accusations of the Trump administration were “baseless.”
The Far Eastern nation’s Ministry of Commerce (MOFCOM) has also reportedly flatly rejected the allegations of the United States government in a statement issued immediately after the brand-new tariff plan was introduced.
To remind, on April 17, 2025, the USTR laid out a framework to introduce a charge on Chinese ships calling at American ports, explaining that, upon receiving around 600 public comments and consulting with other government officials, it was decided that the plan should be laid out no later than this year.
In contrast to the initial fees proposed in February 2025, which entailed the prospect of charging up to $1.5 million for each vessel built in China arriving at a port in the United States, the actions that the government agency presented recently are less stringent.
Namely, the new policy, targeting Chinese-built ships and those owned or operated by entities with ties to the country, entails tariffs ranging from $18 per net ton to $120 per container. As informed, it is due to take effect from October this year and increase annually every April. Certain exemptions apply, including for vessels carrying US government cargo.
Just like the first strategy, however, the new policy has also attracted scrutiny from entities beyond China. For instance, according to the World Shipping Council (WSC)’s latest assessment, the port fee regime threatens to erode American trade, hurt United States producers, and hamper efforts to bolster the nation’s maritime industry.
The geopolitical seesaw between Washington and Beijing
The game of tug-of-war between China and the United States has been a drawn-out narrative unfolding across several turning points. In the first week of January this year, the US Department of Defense’s (DoD) placed COSCO Shipping Holdings and its subsidiaries, Cosco Shipping (North America) and Cosco Shipping Finance, on a blacklist, claiming them to have direct relations to China’s military.
Other players on the list included China Shipbuilding Trading (CSTC), China National Offshore Oil Corporation (CNOOC), China International Marine Containers Group (CIMC), as well as battery manufacturer Contemporary Amperex Technology (CATL) and technology company Tencent Holdings.
Although inclusion on the sanctions list was said to carry no direct penalties, it was also concluded that it could deter American firms from striking partnerships with the affected companies.
It is important to note that COSCO and CNOOC were targeted by Washington in the past, as well. The former’s subsidiaries, COSCO Shipping Tanker (Dalian) and COSCO Shipping Tanker (Dalian) Seaman & Ship Management, were sanctioned in 2019 for hauling Iranian oil, though the penalties were lifted the following year. CNOOC was also added to a Pentagon blacklist in 2021.
In addition to this, shipbuilder Penglai Jutal Offshore Engineering Heavy Industries was placed on the US Specially Designated Nationals and Blocked Persons List (SDN) in June 2024 for its alleged involvement in Russia’s Arctic LNG 2 project, cutting the company off from the United States financial syste
Source: Offshore & Energy
