US to levy fees on China-linked ships, draft exec order says

The US is planning to charge fees for docking at US ports for any ship that is part of a fleet that includes Chinese-built or Chinese-flagged vessels, a draft executive order stated.

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LONDON -

It will also push allies to act similarly or face retaliation.

The administration of President Donald Trump is drafting the executive order in a bid to resuscitate domestic shipbuilding and weaken China's grip on the global maritime industry.

Addressing China's growing dominance of the seas and America's diminishing naval readiness is a rare point of consensus between US Republican and Democratic lawmakers.

Chinese shipbuilders account for more than 50 per cent of all merchant vessel cargo capacity produced globally each year, up from just 5 per cent in 1999, according to the Centre for Strategic and International Studies.

That gain came at the expense of shipbuilders in Japan and South Korea. US shipbuilding peaked in the 1970s and now accounts for a sliver of the industry output.