The trade dispute between the United States and China is escalating after new port fees went into effect. Both countries began charging each other's ships additional fees on Tuesday. This was reported by Air force.
China said the levies were aimed at protecting its shipping industry from “discriminatory” US actions. They apply to vessels owned or operated by US companies, particularly those with more than 25% US equity.
Beijing announced the measures last week, along with imposing export controls on rare earth metals. In response, US President Donald Trump threatened an additional 100% tariff on Chinese goods.
Meanwhile, new tariffs on imports of lumber, furniture, and kitchen equipment, much of which comes from China, have come into effect in the US.
US Treasury Secretary Scott Bessant said Trump and Chinese leader Xi Jinping could meet in South Korea in late October to discuss de-escalation.
"A 100% tariff doesn't necessarily have to be introduced... Relations, despite this statement last week, are good. Communication lines have been restored, so we'll see what this leads to," — Bessent said.
Beijing emphasized that they are ready for both negotiations and confrontation.
"China's position is consistent. If there is a fight, we will fight to the end; if there is a negotiation, the door is open. The US cannot demand negotiations while simultaneously imposing new restrictive measures through threats and intimidation. This is not the right way to engage with China," — said a spokesman for the Chinese Ministry of Commerce.
Chinese state media accused the US of violating a maritime agreement between the countries.
According to the publication, the port fee for American vessels will be 400 yuan per ton and will increase every year, reaching 1120 yuan in 2028.
Experts estimate that some large vessels will have to pay up to $3 million this year, and over $10 million by 2028. At the same time, Chinese vessels, which make up almost half of the world's fleet, have been exempted from the new fees.
