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USTR modifies Section 301 Ships Action, proposes further modifications

13 Oct '25
2 min read
USTR modifies Section 301 Ships Action, proposes further modifications
Pic: Dennis MacDonald / Shutterstock.com

Insights

  • The Office of USTR recently announced modifications to certain aspects of the responsive action to restore American shipbuilding that it took on April 17 this year and solicited public comments on several proposed further modifications to that action.
  • The proposed modifications include adding a carve-out from fees for certain ethane and LPG carriers under long-term charter.
The Office of the United States Trade Representative (USTR) has announced modifications to certain aspects of the responsive action to restore American shipbuilding that it took on April 17 this year and solicited public comments on several proposed further modifications to that action.

The modifications and proposed modifications follow USTR requests for public comment made in Federal Register notices published on April 23, 2025 and June 12, 2025.

Significant aspects of the modifications include changing the basis for calculating service fees on vessel operators of foreign-built vehicle carriers and setting the fee at $46 per net tonne, as of October 14, 2025; eliminating, retroactive to April 17, 2025, a provision permitting the suspension of liquid natural gas (export licenses if certain restrictions on the use of foreign-built vessels are not met; and imposing 100-per cent tariffs on certain ship-to-shore cranes and cargo handling equipment.

The proposed further modifications to the responsive action taken in April include adding a carve-out from fees for certain ethane and liquid petroleum gas carriers under long-term charter; and imposing additional tariffs of up to 150 per cent on certain cargo handling equipment and components of such equipment.

While USTR evaluates public comments on these proposed further modifications, the payment of certain service fees may be deferred through December 10, 2025, as set out in the notice, a USTR release said.

The deadline to submit written comments on the proposed further modifications is November 12.

Fibre2Fashion News Desk (DS)

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