U.S. and China impose new port fees as trade tensions escalate

Trade tensions between the United States and China are intensifying once again, as both countries announced new port fees on each other’s ships.

(CNN)- Trade tensions between the United States and China are intensifying once again, as both countries announced new port fees on each other’s ships — adding to the growing list of costs for global businesses already burdened by tariffs and export controls.

According to statements from the U.S. Trade Representative and China’s Ministry of Transport, the fees are the latest measure in a tit-for-tat escalation between the world’s two largest economies.

Wendy Cutler, Vice President of the Asia Society Policy Institute and former Acting Deputy U.S. Trade Representative, says the move could be part of a larger cycle of pressure and potential resolution.
“Can we find some way to coexist with China as we still are strategic rivals?” she asked. “We’re in a pattern of escalation and now hopefully towards de-escalation, paving the way for President Trump to meet with Xi Jinping just a couple of weeks from now in Korea.”

Chinese analysts accuse Washington of triggering the latest dispute by imposing new export controls last month. In response, Beijing tightened restrictions on rare earth minerals — crucial for semiconductors, automobiles, and electronics.

President Donald Trump has since threatened to implement a “triple-digit” tariff hike on Chinese imports by November 1, warning that additional measures could follow if China does not ease its trade policies.

Beijing has promised to retaliate if the tariffs go into effect, though both governments have expressed hope for a diplomatic solution.

Treasury Secretary Scott Bessent said discussions are ongoing.
“The 100% tariff does not have to happen. There will be working-level talks this week, and I imagine I’ll have some contact with my counterpart, and then the two leaders will meet.”

President Trump struck a more optimistic tone on social media Sunday, writing, “Don’t worry about China, it will all be fine! The U.S.A. wants to help China, not hurt it!”

The upcoming Trump–Xi meeting in Korea could be a pivotal moment in determining whether the two sides move toward resolution — or deeper into economic confrontation.