USTR proposes two-month extension of China maritime trade fee suspension

Late last week, the Office of the United States Trade Representative (USTR) said it proposed to extend its Section 301 Investigation of “China’s targeting of the Maritime, Logistics, and Shipbuilding Sectors for Dominance,” for another two months, which would be in effect through January 9, 2027.In November 2025, USTR initially issued a one-year suspension that took effect at 12:01 AM ET on November 10, 2025.As previously reported by LM, prior to the November 2025 announcement, the USTR said on October 14 that it had outlined actions in regards to announced modifications of certain aspects of the responsive action to modify American shipbuilding from April.On April 17, 2025, a statement issued by the USTR office highlighted the main components of this effort including:The USTR added that it was also proposing other further modifications from its requests for public comment made in Federal Register notices in April and June [2025], which include: adding a carve-out from fees for certain ethane and liquid petroleum gas (LPG) carriers under long-term charter; and imposing additional tariffs of up to 150% on certain cargo handling equipment (e.g., rubber tire gantry cranes) and components of such equipment.When the one-year extended was issued in November 2025, the American Association of Port Authorities said that it was relieved to see these fees and tariffs suspended for one year.“This pause will allow the industry to continue delivering the cargo and passengers that power the American economy,” it said. “We urge the Trump Administration to continue negotiations to ensure that these policies are not reimposed in one year.”Last Friday, October 23, the USTR said its objective with this announcement is to allow for further negotiation with China regarding the acts, policies, and practices at issue with this investigation to further suspend that action for two months, through January 9, 2027.“The United States is continuing to engage with China with the goal of obtaining the elimination of the acts, policies, and practices at issue in the investigation,” it said.And it added that when the one-year suspension was announced in November 2025, when the U.S. and China announced a trade and economic deal, that this one-year period would allow the U.S. to negotiate with China pursuant to Section 301 in regards to the issues raised in the investigation and also to continue U.S. domestic efforts and discussions with key allies and partners on revitalizing American shipbuilding.Should this proposed two-month extension take effect, it said that neither party would accrue liability or be required to pay the fees on maritime transport services covered by the suspended measures under that period.USTR said that written comments on this proposed extension are due by Friday, October 30, at 5:00 PM ET.