Trump's 'reciprocal tariff plan 'amplifies risk of shipping chaos'

LISA BAERTLEIN VICTORIA WALDERSEE RENEE MALTEZOU

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US President Donald Trump's new tariff plan has the ocean shipping industry on edge as the sector's trade wars are poised to snarl transport demand and send companies scrambling to manage the fallout.

The Trump administration yesterday (early today in Thailand) was to announce "reciprocal tariffs" targeting nations that have duties on US goods. That move would come after it slapped new import levies on products from Mexico, China and Canada — the top US trading partners — as well as on goods including steel and autos.

Major global container shipping firms like MSC, Maersk, CMA CGM and Hapag-Lloyd transport roughly $4 trillion in consumer-stuffed goods for US retailers like Walmart, Target and Home Depot.

They are giants in the roughly $14 trillion a year ocean shipping industry that handles about 80% of global trade. They are also intent on companies that are getting whipsawed by Trump's escalating, on-and-off-again tariffs. "The implementation of stacked tariffs has led to mounting confusion," said Blake Hauer, the Retail Industry Leaders Association's vice president of international trade. "Companies have not had adequate time to comply, and guidance they need to incorporate these changes and comply."

Trump has invoked emergency powers to swiftly add, and occasionally retract and reinstate, tariffs during his send term in the White Office.