As China and US impose rival port fees, global shipping industry braces for disruption
But analysts say Beijing has left room to negotiate and could adjust its fees based on Washington’s actions
Analysts note that as China is a major importer of energy and grain, its fees will mainly affect tankers and dry bulk carriers, prompting cargo owners and carriers to rethink deployments.
This could increase volatility in shipping rates over the short term, while US port fees are more likely to impact container cargo shipping, they added.
China’s port fee policy targets US-built, flagged, owned or operated vessels, as well as those owned or operated by any entity in which US individuals or businesses hold 25 per cent or more of the equity, voting rights or board seats.
If the US cancels the port fee, China’s fee will also be withdrawn
“It is this latter stipulation that is the real kicker,” Roar Adland, global head of research at brokerage SSY, wrote in an online post, adding that the share of the worldwide fleet potentially ensnared by the additional fees is substantial.