China Trade War! Are US Ports About To Sink Under New Shipping Fees?!

Siiiii pping Troubles?

Hello it's me Cristiano Ronaldo! You know the guy who scores goals not exactly navigates trade routes. But even I CR7 can see when something smells fishy. The US is slapping fees on Chinese built ships. Apparently the previous administration started it and now they are doing it again. They are saying China's been playing dirty making it tough for American companies. Honestly sounds like someone's been watching too many games and not enough ships. But hey who am I to judge? I just kick the ball. They kick the…ships?

Show Me The Money... Or The Ships!

These fees aren't exactly pocket change. They start small but then BAM! They ramp up like my sprint down the wing! We're talking potentially millions per ship. And they are saying 'Hey build your own ships America!' It's like telling me 'Hey Ronaldo learn to play defense!' Possible? Maybe. Likely? Ehhhh… If a vessel owner wants the government to go easy on them they can provide proof of a US built shipbuilding order and can be exempt if they do that but only for 3 years.

Public Cry Out!

Over 300 trade groups and other interested parties testified and warned the government in letters and in testimony that the U.S. was in no position to win an economic war that placed ocean carriers using Chinese made vessels in the middle. Many were saying that the U.S. was in no position to win an economic war. Soon Chinese made vessels will represent 98% of the trade ships on the world's oceans.

The Fee Schedule: A Masterclass in… Economics?

Alright let's break down this fee madness. Starting next year the fees are set at zero and are broken down into various categories. Then like my goal tally they start climbing. $50 $80 $110 all the way to $140 per net ton! Five times a year! It's enough to make even my bank account sweat a little. And car carrier vessels would start at $150 per Car Equivalent Unit (CEU) in 180 days. The second phase actions will not begin for three years and would target LNG vessels.

Great Lakes? Caribbean? You're Safe. For Now.

There's always a loophole isn't there? Seems these fees don't apply to shipping in the Great Lakes or the Caribbean. Lucky them! Also bulk exports like coal or grain get a free pass and even empty ships can dock without paying. It's like giving me a penalty kick with no goalie! Too easy. The question is are these exemptions a smart move or will they sink the whole plan?

Is this the new El Classico?

So what's the final score? Will these fees help American shipbuilding? Will they spark a trade war? Honestly I don't know. I'm just a football player! But one thing's for sure: this whole situation is more complicated than my free kick technique. Stay tuned folks. And remember even when the seas get rough just keep believing in yourself. Siiiiiiii!