China hits back with port fees on US ships amid escalating trade dispute

Industry News | MIC Customs Solutions

Trade tensions escalate as China imposes new levies on American-docked ships.

China has announced a new levy on American-operated vessels docking at its ports, a move that threatens to further strain relations between the world's two largest economies.

This measure comes as a retaliation to a similar fee imposed by the US on Chinese ships, which Washington explained was implemented to support American shipping companies. Beijing, in turn, described its response as necessary to shield its own maritime industry from "discriminatory" policies.

The levy applies only to US-operated ships, with a fee of 400 yuan ($56) per tonne and will increase each year, rising to 1,120 yuan ($157) per tonne in April of 2028, according to Chinese broadcaster CCTV. This can cost up to $10 million in levies for vessels carrying 200,000 tonnes in dry bulk.

In response, the Trump administration has threatened an additional 100 percent tariff on Chinese imports, escalating a trade confrontation that already includes new duties on imported timber, upholstered furniture and kitchen cabinets, the majority of which are supplied by China.

China, however, signaled both readiness for confrontation and openness to negotiation. "China's position is consistent. If there's a fight, we'll fight to the end; if there's a talk, the door is open," the BBC quotes a statement from Chinese commerce ministry spokesperson. "The US cannot demand talks while simultaneously imposing new restrictive measures with threats and intimidation. This is not the right way to engage with China".

This exchange emphasises the fragile state of US-China trade relations, which have steadily worsened since the Trump administration rolled out its new tariff framework earlier this year. Despite the rising tensions, negotiations are still expected to take place later this month in an effort to ease frictions and prevent the standoff from escalating into a greater economic conflict.