Washington, June 9 (IANS) Two senior Democratic senators have urged the Trump administration to restore proposed port fees on Chinese ships, arguing that the move is essential to rebuilding America’s shrinking shipbuilding industry and reducing dependence on China in a sector increasingly viewed as critical to national security.
In a letter to US Trade Representative Jamieson Greer, Senators Elizabeth Warren and Mark Kelly said the administration should reinstate Section 301 fees and restrictions on Chinese vessels entering American ports.
“Section 301 port fees are critical to revitalizing US shipbuilding. Presidents of both parties have long recognized the serious threat that Chinese shipbuilding dominance poses to the United States, and…(these) fees and restrictions on Chinese vessels would have protected American shipbuilding businesses and workers,” the senators wrote.
The intervention comes as Washington and Beijing continue negotiations over trade and economic issues following recent talks between President Donald Trump and Chinese President Xi Jinping.
The lawmakers argued that China’s rise as a global shipbuilding power has coincided with a dramatic decline in US shipyard capacity. According to the letter, China produced less than five per cent of the world’s commercial ships in 2000. Last year, Chinese shipyards accounted for more than half of global commercial ship production, while US shipyards produced just 0.1 per cent of the world’s oceangoing vessels.
Warren and Kelly said the trend poses both economic and strategic risks for the United States.
They noted that both Republican and Democratic administrations have investigated China’s maritime, logistics and shipbuilding sectors, alleging that Beijing used extensive state support and subsidies to dominate the industry.
The previous Biden administration launched a Section 301 investigation into China’s shipbuilding practices. Building on that effort, the Trump administration proposed fees on Chinese-owned, operated and built vessels entering US ports.
According to the senators, even the prospect of those fees produced results.
“Within months of the announcement, orders at Chinese shipyards had dropped precipitously; orders were down 23.5 percent in the first nine months of 2025,” the letter said.
However, the senators criticised the administration’s subsequent decision to suspend the fees and restrictions for one year amid broader trade negotiations with China.
They argued that Beijing’s restrictions on critical minerals used in military technology and semiconductor production led Washington to make concessions, including pausing the shipping measures.
The senators claimed that the suspension quickly benefited Chinese shipbuilders. They pointed to a rise in orders at Chinese shipyards and warned that delaying the measures could undermine efforts to rebuild the American maritime industrial base.
The criticism also targets a key element of the administration’s maritime strategy.
Even after suspending the fees, the administration has called for efforts to “reclaim America’s maritime strength” and generate “demand for U.S.-built ships, shipyards, and mariners” through its Maritime Action Plan.
“Without meaningful fees on Chinese vessels, this ‘plan’ is meaningless,” the senators wrote.
Warren and Kelly asked Greer whether the administration intends to reinstate the fees, what impact the pause has had on American workers, and whether Washington secured any significant concessions from Beijing in return for delaying the restrictions.
“We urge the Administration to stand up for American shipbuilders and reinstate the fees and restrictions imposed pursuant to USTR’s section 301 investigation into Chinese shipbuilding,” they wrote.
The issue has gained prominence as the United States seeks to strengthen domestic manufacturing and secure supply chains amid intensifying strategic competition with China. Shipbuilding has emerged as a particular concern because of its links to commercial trade, military readiness and global logistics.
Kelly is the lead sponsor of the bipartisan Shipbuilding and Harbor Infrastructure for Prosperity and Security (SHIPS) for America Act, while Warren is a co-sponsor of the legislation.
–IANS
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