The Office of the U.S. Trade Representative (USTR) has proposed a two-month extension of the suspension of its Section 301 actions against China’s maritime, logistics and shipbuilding sectors. The current suspension expires at 11:59 p.m. ET on November 9, 2026. If finalized, the extension would keep the port fees on China-linked vessels and the related tariffs on Chinese cargo handling equipment on hold through January 9, 2027.
USTR announced the proposal on October 23, 2026. Comments are due by 5:00 p.m. ET on October 30, 2026. The proposal is not final, and without further action, the fees and tariffs would resume on November 10.
What the Section 301 Maritime Actions Cover
USTR imposed the actions after a Section 301 investigation found that China targets the maritime, logistics and shipbuilding sectors for dominance. The actions include two parts:
- Port service fees: Fees on vessels calling at U.S. ports that are owned or operated by Chinese entities, Chinese-built vessels, and certain foreign-built vehicle carriers. These fees are set out in Annexes I, II and III of USTR’s April 2025 action, as modified in October 2025. The fees are charged to vessel operators, not importers of record.
- Tariffs on cargo handling equipment: Additional tariffs of 100% on certain Chinese ship-to-shore cranes and cargo handling equipment under Annex V.A of USTR’s October 2025 modification. These tariffs are paid by U.S. importers of the covered equipment.
The fees took effect October 14, 2025, but were in place for less than a month. Following the October 2025 trade arrangement between President Trump and President Xi Jinping, USTR suspended both the fees and the Annex V.A tariffs for one year starting November 10, 2025.
What the Proposed Extension Would Do
Under the proposal, from 12:00 a.m. ET on November 10, 2026, through 11:59 p.m. ET on January 9, 2027:
- No party would accrue liability for, or be required to pay, the port service fees under Annexes I, II and III.
- No party would accrue liability for, or be required to pay, the Annex V.A tariffs on covered ship-to-shore cranes and cargo handling equipment.
USTR said the extension would allow continued negotiations with China on the practices at issue in the investigation. The investigation itself remains open, so USTR could reinstate the actions after the extension ends.
Why It Matters for U.S. Importers
Equipment importers face direct exposure. Companies importing covered Chinese ship-to-shore cranes or cargo handling equipment could owe 100% additional tariffs on entries made after November 9 if the extension is not finalized in time. Ports, terminal operators and equipment distributors should confirm whether their purchases fall within Annex V.A and plan the timing of any pending entries.
Shippers face indirect exposure. Importers do not pay the port fees themselves, but carriers may pass the costs through as surcharges. Carriers have also warned that the fees could lead them to shift vessels away from some U.S. trade lanes. A lapse in the suspension could bring higher surcharges and service changes.
Planning should extend into 2027. Even if USTR finalizes the extension, the fees and tariffs could resume after January 9, 2027, depending on the outcome of U.S.-China negotiations.
What Importers Should Do Now
- Review whether any planned imports of ship-to-shore cranes or cargo handling equipment from China fall under Annex V.A.
- Avoid scheduling entries of covered equipment immediately after November 9 until USTR confirms the extension.
- Ask ocean carriers how they would apply surcharges if the port fees resume on November 10 or after January 9.
- Consider submitting comments to USTR by October 30 under docket USTR-2026-0694 if your business would be affected.
- Monitor for USTR’s final decision before November 9.
For additional information, review USTR’s notice on the proposed further suspension.
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References
- Federal Register: Proposed Further Suspension of Section 301 Action on China’s Targeting of the Maritime, Logistics, and Shipbuilding Sectors for Dominance (FR Doc. 2026-21755)
- USTR: USTR Modifies Certain Aspects of Section 301 Ships Action and Proposes Further Modifications to the Action (October 2025)
- Federal Register: Modification of Section 301 Action: China’s Targeting of the Maritime, Logistics, and Shipbuilding Sectors for Dominance (one-year suspension, FR Doc. 2025-19873)
- Holland & Knight: USTR Proposes 2-Month Extension of Suspension of Section 301 Maritime Actions Against China
- gCaptain: USTR Proposes Extending China Ship Port Fee Suspension Through January 2027
