The United States and China have intensified their trade conflict by imposing new port fees on ocean shipping companies handling everything from crude oil to holiday goods. The measures, which took effect Tuesday, signal a deepening maritime front in the ongoing trade war between the world’s two largest economies.
After a week of tension marked by China’s expanded rare earth export controls and President Donald Trump’s threat to triple tariffs on Chinese goods, both sides attempted to ease market fears by stressing ongoing dialogue. Still, the newly introduced levies underscore the growing risks to global trade.
China’s Ministry of Commerce confirmed it began collecting special charges on U.S.-owned, operated, or flagged vessels, exempting Chinese-built ships and empty vessels entering for repair. Similarly, the U.S. imposed fees targeting China-linked ships to boost domestic shipbuilding. According to Xclusiv Shipbrokers, the tit-for-tat tariffs could distort global freight routes and add billions in costs.
Analysts estimate China’s COSCO could shoulder nearly half of the $3.2 billion expected impact on the container sector by 2026. Major shipping companies like Maersk and CMA CGM have already reduced exposure by shifting vessels out of U.S. routes.
In retaliation, Beijing sanctioned five U.S.-linked subsidiaries of South Korean shipbuilder Hanwha Ocean for cooperating with U.S. trade probes. Hanwha’s shares fell nearly 6% following the announcement.
Experts believe the new port fees may disrupt up to 15% of global oil tanker capacity and affect 13% of crude and 11% of container ships worldwide. Meanwhile, Washington warned of further sanctions tied to environmental policies, adding another layer to the escalating trade battle.
As both nations weaponize maritime and environmental policies, global shipping faces mounting uncertainty—transforming the seas into a stage for economic rivalry and geopolitical strategy.