German Media: Study Finds Germany Could Benefit if the U.S. Imposes Port Fees on Chinese-Built Vessels

A study conducted by the German Institute for Economic Research (DIW) has found that the proposed port fees by the United States on commercially built vessels from China could potentially benefit Germany. German exports to the U.S. might increase by approximately 2%. The primary reason lies in Germany’s relatively low reliance on Chinese-built cargo ships, meaning German exporters could seize market share from competitors adversely affected by these measures.

The U.S. government began imposing port fees on Chinese commercial vessels docking at its ports in mid-October last year, citing national security interests. This move aims to challenge China’s dominant position in the shipbuilding industry. The fee structure will be based on the vessel’s country of construction, not the origin of the cargo it carries. In response, China implemented retaliatory measures, levying similar fees on American vessels.

However, the economic consensus reached between China and the U.S. at the end of October last year will suspend reciprocal commercial vessel port fees starting November 10, 2025, with a one-year suspension period.

The DIW also pointed out that the fee mechanism in the U.S. plan would primarily harm the U.S. itself. Estimates suggest that as the world’s largest economy, both U.S. imports and exports could decline by 0.2% and 0.3%, respectively. DIW economist Sonali Chowdhry stated: "The mechanism is straightforward: fees raise intermediate input costs, reducing the competitiveness of U.S. manufacturers; and weaker economic performance further suppresses demand for foreign goods."

Moreover, other countries may face even more severe impacts. The study shows that within the EU, Finland (down 5.0%), Denmark (down 4.4%), and Poland (down 3.0%) will suffer particularly significant losses in their exports to the U.S. These measures will also severely impact export-dependent emerging economies such as Costa Rica, Vietnam, and Pakistan, whose exports to the U.S. could drop nearly 9%. South Korea is seen as one of the few beneficiaries outside Europe. Like Germany, South Korea’s exports are expected to grow by about 2%.

Data indicates that since the 1990s, the center of gravity in commercial shipbuilding has shifted toward China. Today, roughly half of all newly built commercial vessels worldwide are produced in China. Over the past 30 years, the EU’s share of the new-build commercial shipping market has declined from 17% to less than 3%. Germany’s share in the global new-build shipping market has similarly fallen from around 6% in 1995 to less than 0.1% in recent years.

Chowdhry emphasized: "As one of Europe’s major export-oriented economies and home to numerous large shipping companies and key maritime hubs, Germany should play a more active role in shaping European maritime industry policy."

Source: DW, incorporating reports from Reuters

Original article: toutiao.com/article/1870157874677834/

Disclaimer: The views expressed in this article are those of the author(s).