No. of Recommendations: 4
From the link [my bold]:
A series of new levies and restrictions proposed by the Office of the US Trade Representative (USTR) on importers and exporters that use Chinese-made ships could deal a significant blow to US agriculture and transportation, according to an economic impact report commissioned by more than 30 industry groups.
Among the report’s findings: US wheat exports could decline by more than 60% and soybean exports by more than 40% if all the proposed actions were implemented.
The proposed penalties, intended to boost US shipbuilding, include fines of up to $1.5 million for each Chinese-made ship that enters a US port, up to $1 million per port call for Chinese operators and up to $1 million for operators with orders from Chinese shipyards, according to recent reporting by World-Grain. The USTR’s plan also would set minimum amounts that carriers must export on US-built, US-flagged vessels.
“Though well intentioned, this proposal threatens to impose significant costs on US grain and oilseed exporters and erode America’s competitiveness in the international market,” said Mike Seyfert, president and CEO of the National Grain and Feed Association (NGFA), one of the report’s sponsors. “If enacted, this proposal would effectively eliminate half of the global bulk fleet that we need to export almost one-third of grains and oilseeds that are produced in America.”
