China’s New Port Fees Create Costly Strain for US Ships

The Shanghai Pudong skyline at dusk
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Updated Published

The German owners of the US-flagged Matson Waikiki are facing a hefty $1.7 million (RMB 12.1 million) fee to dock in Shanghai—an early sign of the disruption and mounting costs following the reciprocal port charge increases introduced by Washington and Beijing this week.

The 4,870 TEU vessel, with a net tonnage of 30,224, is being billed $56 per net ton under China’s new policy targeting US-linked ships. The charge mirrors the United States’ newly imposed $50 per ton fee on Chinese vessels, both measures taking effect simultaneously in a tit-for-tat escalation. After completing its call in Shanghai, the ship is expected to return across the Pacific to Long Beach.

According to China’s Maritime Safety Administration (MSA), the new fees are applied at a ship’s first Chinese port of call. Authorities verify ownership, flag, and operational details through the US-Linked Vessel Information Report Form, submitted via the country’s National Single Window digital platform.

While Beijing has exempted Chinese-built vessels from the surcharge - significantly reducing the number of ships affected - the new rules include a complex clause targeting vessels with substantial US ownership stakes. Ships whose ownership entities include US nationals holding 25% or more of equity, voting power, or board representation are subject to the higher fees. This has already prompted some American directors to step down from international shipping company boards.

Analysts warn the move could have wide-reaching market implications. Allied Shipbroking noted in its weekly update that “this could ensnare major tanker players such as Scorpio, Ardmore, Teekay, and Torm, many of which are listed on American stock exchanges.” The firm suggested that these fees may alter trade patterns, fleet allocation, and tanker earnings in the near term.

Meanwhile, Greek brokerage Xclusiv Shipbrokers described the mirrored US-China port charges as locking both nations into a “spiral of maritime taxation that risks distorting global freight flows.”

Xclusiv added: “The weaponisation of both trade and environmental policy signals that shipping has moved from being a neutral conduit of global commerce to a direct instrument of statecraft. For owners and charterers alike, navigating this new regulatory battlefield may soon prove as complex, and as costly, as crossing any ocean.”