China’s special port fee

China’s new port-fee regulation, effective 14 October 2025, marks a targeted response to escalating U.S.–China trade frictions. The measure applies to vessels with a defined U.S. nexus, encompassing ownership, operational control, or equity participation of at least 25%, as well as vessels flagged or built in the United States.

The fee structure introduces a variable levy starting at RMB 400 per net ton in 2025, rising to RMB 1,120 by 2028, and applied at the first Chinese port of call per voyage. Each vessel is capped at five chargeable voyages annually. Owners or their agents must report vessel and ownership details seven days before arrival, with penalties for non-compliance including denial of port entry or clearance.

A critical feature of the policy is the exemption for Chinese-built vessels, even if they are owned or controlled by U.S. interests. This carve-out reinforces Beijing’s dual objective: to penalize U.S. maritime interests while incentivizing construction in Chinese yards and consolidating domestic industrial competitiveness.

From an operational perspective, the regulation introduces a structural cost asymmetry in the global shipping industry. U.S.-linked tonnage faces higher port costs and potential route adjustments, while non-U.S. or Asian-built vessels retain a relative advantage in China-bound trades. The policy thus sharpens the commercial segmentation of the fleet and may accelerate reflagging, corporate restructuring, or the redirection of vessel investments toward non-U.S. entities to preserve market access.

Exemptions Update 

Following the “Announcement on Charging Special Port Fees for Ships to US Ships”, the Chinese Ministry of Transport announced implementation measures regarding the special port fees, including several critical exemptions.

According to the Notice, the following ships are exempt from paying the special port fees:

• Chinese-built ships
• Empty vessels that only visit Chinese yards for repairs.
• Other ships that are recognized and approved for exemption

No further elaboration has been provided at this time on the meaning of “Other ships that are recognised and approved for exemption”.

Limited Exposure: Few US-Linked or Non-Chinese-Built Tankers Trade Into China

Based on the below graph, Signal Ocean voyage data for the year-to-date 2025 indicate that US-linked vessels account for roughly 7% of all oil tanker voyages to China, underscoring that any proposed Chinese fees on US-affiliated shipping would have a limited overall impact on crude and product tanker flows. Within this subset, only about 5% of voyages involve non-Chinese-built tonnage, largely constructed in South Korea or Japan. These estimates are based on US-linked commercial operators with a minimum equity threshold of 25%, excluding US-flagged or US-built vessels, both negligible within this trade flow. As a result, roughly 88% of China-bound oil voyages would remain unaffected by such measures.