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U.S. Pauses Port Fees on China-Linked Ships Amid New Trade Talks

U.S. Pauses Port Fees on China-Linked Ships Amid New Trade Talks. Source: Flickr

The Trump administration has announced a one-year suspension of U.S. port fees on China-linked vessels as part of a broader agreement aimed at easing trade tensions between Washington and Beijing. The U.S. Trade Representative (USTR) formalized the move in a Federal Register notice, stating that all punitive measures tied to its Section 301 investigation into China’s shipbuilding and ocean logistics dominance will be paused starting November 10, 2025.

The temporary reprieve covers an estimated $3.2 billion in annual fees applied to large Chinese-built vessels entering U.S. ports. The deal, reached between President Donald Trump and Chinese President Xi Jinping in South Korea in late October, also halts 100% tariffs on ship-to-shore cranes and intermodal chassis used for container transport. USTR confirmed that negotiations under Section 301 would resume to address trade concerns, though specific objectives and timelines were not disclosed.

As part of the de-escalation agreement, China will likewise suspend its own retaliatory port fees on U.S.-linked ships. According to Hawaii-based shipping company Matson, it has paid $6.4 million in fees to China since mid-October. Meanwhile, analysts estimate that state-owned carrier COSCO could face up to $1.5 billion in annual U.S. port fees without the suspension.

The USTR emphasized that the U.S. will continue initiatives to strengthen domestic shipbuilding and collaborate with allies on maritime industry revitalization. The one-year pause signals a potential thaw in U.S.-China trade relations, which have been strained by years of tariff battles and geopolitical competition. Both governments appear focused on rebuilding dialogue while maintaining leverage over key maritime and logistics sectors, crucial components of global trade infrastructure.

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