The U.S. Trade Representative’s Office launched an investigation into China’s efforts to dominate the maritime, logistics, and shipbuilding sectors. After an investigation, the USTR released proposed actions, including assessing fees up to $1.5 million on ships arriving at U.S. ports if the ships are Chinese-built, operated or flagged.
A comment period is open for the proposal, and farmers say imposing fees will only increase costs for U.S. farmers importing inputs like seed and fertilizer and getting crops to market overseas. The American Soybean Association estimated the cost of a $1 million fee on soybean exports. For ships loaded with 70,000 metric tons of soybeans, vessels going from the Pacific Northwest to China would see a cost increase from $11.90 per bushel to $12.29 a bushel.
Farmers also point out that U.S. competitors like Brazil and Argentina will not be subject to those same regulations and have a distinct advantage.
