The recently proposed US port fees may significantly impact a vast majority of the tanker fleet, especially those linked to China. This policy targets operators and owners with any China-built vessels in their fleets or order books. Consequently, the availability of tonnage outside this policy will be constrained, ultimately affecting freight rates for US trade, even among vessels not directly associated with Chinese shipyards. According to estimates from Drewry, approximately two-thirds of oil tankers, including 36% of crude tankers and 35% of product tankers, will fall under this fee structure.
The hefty charges will apply to non-Chinese operated vessels as well when visiting US ports. In stark contrast, vessels operated by Chinese companies will face exorbitant fees, reaching up to $1,000 per net tonne. For context, smaller product tankers could incur costs nearing $10 million per call, while Very Large Crude Carriers (VLCCs) might face fees up to $105.3 million. Consequently, using tankers affected by this policy for US trade would significantly raise freight costs.
Even vessels not subject to these fees could see rising rates due to the declining availability of unaffected options. This situation is likely to escalate the costs of crude or product exports and imports in the US, as additional fees will be reflected in freight rates. The broader implications of this proposal remain uncertain, but freight rates for US trade are expected to rise substantially. As higher costs deter US imports of crude and refined products, oil prices domestically may increase.
Furthermore, this could shift trade patterns, especially increasing the appeal of Middle Eastern diesel in Europe. Shipowners may also become more cautious in their future orders, potentially impacting their choices regarding shipyards. Ultimately, the policy could reshape maritime logistics, although its long-term effects remain to be seen, especially given the minimal share of US-built vessels in the tanker fleet.