Section 301 is a US trade law that allows governments to respond to trade practices it considers unfair. The US first introduced fees back in October 2025 on certain ships linked to China docking at US ports, with China imposing countermeasure fees on US ships docking in China. These were agreed to be suspended for one year in November 2025. Now that this year has passed, in October 2026, The US Trade Representative proposed extending this suspension by another two months until 9 January 2027.

ICS fully supports the ambition to increase U.S. shipbuilding capacity and to make the U.S. shipbuilding industry strong and efficient, as the construction of additional commercial shipping tonnage strengthens the global maritime sector’s efficiency and competitiveness. However, the port fees imposed on ships calling at U.S. ports by USTR on 14 October 2025 (and subsequently by China as countermeasures on U.S. linked ships) posed significant challenges and disruptions for the U.S. economy and consumers, as well as for the global shipping industry and global trade.

This extension would be a very positive development for U.S. exporters, U.S. industries and U.S. consumers, as well as for both U.S. and global trade, and should allow time for further negotiations between the governments of the United States and China in the hope that this suspension may become permanent – together with the permanent withdrawal of reciprocal measures by the Government of China against U.S. maritime interests. ICS hopes that this further proposed suspension will, in due course, pursuant to negotiations, evolve into a permanent agreement between the U.S. and China.

Commenting on this development, ICS’ Head of Shipping Policy, Rachel Noronha, states:

“ICS welcomes and strongly supports the proposal to further suspend the Section 301 measures affecting maritime transport services. This temporary extension, to allow further dialogue, must lead to a complete removal of these fees to provide much needed certainty for shipowners and consumers.

We have consistently emphasised that measures which impose additional costs on international shipping can have consequences well beyond the maritime sector, ultimately affecting consumers across the world. This is especially the case at a time when global supply chains are already facing significant geopolitical and economic pressures.

We encourage all parties to use this opportunity to pursue a predictable and internationally coordinated approach to strengthening the resilience of global shipping and supply chains.”

ICS has also signed a joint letter alongside organisations across agriculture, manufacturing, retail, and logistics calling for a permanent suspension to give businesses and supply chains greater certainty. To read the Joint Association Letter, please visit here.