USTR UPDATES SECTION 301 MEASURES ON FOREIGN-BUILT SHIPS AND CARGO-HANDLING EQUIPMENT AHEAD OF OCTOBER 14, 2025 IMPLEMENTATION

The Office of the United States Trade Representative (USTR) has finalized key modifications under the Section 301 investigation into China’s targeting of the maritime, logistics, and shipbuilding sectors. The determination follows the responsive measures initiated on April 17, 2025, and incorporates public feedback received since the June 2025 proposal.

HOW DO THE NEW SECTION 301 MEASURES AFFECT FOREIGN-BUILT SHIPS ENTERING U.S. PORTS?

Beginning October 14 2025, vessel operators of foreign-built vehicle carriers entering U.S. ports from outside the customs territory will be required to pay 46 dollars per net ton, replacing the earlier car-equivalent-unit basis. The fee may be collected up to five times per calendar year per vessel and reflects USTR’s finalized revision to Annex III.

Exemptions apply to vessels enrolled in the Maritime Security Program and to U.S. government-operated vessels, both valid through April 18 2029. USTR has also proposed an additional exemption for U.S.-flag vessels up to 10 000 deadweight tons, subject to renewal on the same date.

Eligible operators of vehicle carriers and liquefied-gas vessels may defer payment of the service fee through December 10 2025 while USTR reviews comments on proposed supplementary adjustments.

WHAT ADDITIONAL SECTION 301 MODIFICATIONS HAS USTR IMPLEMENTED?

The October 2025 determination confirms several additional measures first outlined in June 2025:

• Removal of the LNG export-license clause: Effective retroactive to April 17 2025, USTR has eliminated the provision that could have suspended liquefied-natural-gas export licenses based on vessel origin or construction.
• Tariffs on ship-to-shore cranes and cargo-handling equipment: Beginning November 9 2025, 100 percent tariffs will apply to specific ship-to-shore cranes and intermodal chassis originating from China.

WHAT NEW SECTION 301 PROPOSALS ARE UNDER REVIEW BY USTR?

USTR is also requesting public comment on proposed further modifications to the Section 301 maritime framework, including:

• Carve-outs for ethane and liquefied-petroleum-gas (LPG) carriers operating under long-term charter agreements.
• Proposed tariffs of up to 150 percent on additional cargo-handling machinery and component parts, including rubber-tire gantry cranes, rail-mounted gantry cranes, reachstackers, straddle carriers, terminal tractors, and top handlers.

While these proposals remain open for review, the payment deferral window for applicable service fees remains in place through December 10, 2025.

WHAT IS NEXT IN THE SECTION 301 REVIEW PROCESS?

The public comment period is open through November 12 2025, with submissions to be filed electronically under docket number USTR-2025-0017. Each submission should identify the relevant annex or provision and include supporting technical, operational, or economic data. After the comment period closes, USTR will review stakeholder feedback and determine whether to finalize the proposed tariff expansions and vessel exemptions.

The agency will continue monitoring vessel availability, domestic production capacity, and trade implications as part of its ongoing Section 301 maritime review.