China and U.S. impose reciprocal port fees on each other's ships

China and the United States on Tuesday implemented reciprocal port fees on vessels linked to one another, escalating a months‑long trade dispute that analysts warn could disrupt global shipping and raise costs for a range of cargoes from containers to oil and liquefied petroleum gas. Beijing began charging levies on ships built in, owned by, operated by or flagged to the United States, while Washington has been collecting fees on Chinalinked vessels since April under a policy aimed at bolstering U.S. shipbuilding and countering what U.S. officials describe as unfair Chinese practices.

China’s transport ministry announced the levy will begin at 400 yuan per net metric ton and rise in phases to 640 yuan in April 2026, 880 yuan in April 2027 and 1,120 yuan in April 2028. The Chinese measures also apply to vessels where U.S. domiciled investors hold 25 percent or more of equity, voting rights or board seats, a provision analysts say significantly broadens the scope of affected ships. Beijing exempted Chinesebuilt vessels and empty ships entering Chinese shipyards for repair.

The U.S. Trade Representative has set a tiered fee structure for vessels tied to China: Chineseowned or...