CMA CGM: US Fees on China Vessels Would Impact All Shipping Firms
U.S. proposals to hit Chinese vessels with high port fees would have a major impact on all firms in a container shipping industry in which most vessels are built in China, French-based shipping firm CMA CGM said on Friday.
The U.S. Trade Representative's office has proposed charging up to $1.5 million for Chinese-built vessels entering U.S. ports as part of its investigation into China's expansion in the shipbuilding, maritime and logistics sectors.
"China builds more than half of all container ships in the world, so this would have a significant effect on all shipping firms," Chief Financial Officer Ramon Fernandez told reporters.
CMA CGM, controlled by the family of Chairman and CEO Rodolphe Saade, is the world's third-largest container shipping line. It has a large U.S. presence, operating several port terminals while subsidiary APL has 10 U.S.-flagged vessels, Fernandez said.
Asked about Ocean Alliance, a vessel-sharing agreement involving CMA CGM and Asian partners including China's COSCO, he said CMA CGM has had no indications the alliance could be called into question in view of U.S. policy.
He declined to comment further on the USTR proposals pending a decision expected in April.
The group already expects some impact on shipping this year from new tariffs announced by U.S. President Donald Trump, which could accelerate a shift in trade routes underway since Trump's first-term tariffs on China, Fernandez said.
A rush to beat new tariffs fuelled strong shipping volumes last year, a trend which has continued at the start of 2025, Fernandez said.
CMA CGM reported a 7.8% rise in shipped volumes in 2024, supporting an 18% rise in group sales to $55.48 billion.
The market outlook, however, appeared less favourable this year given geopolitical uncertainty and with the risk of vessel overcapacity, he said.
Disruption in the Red Sea due to attacks by Yemen's Houthi militants absorbed extra capacity last year, as many ships took a longer route around Southern Africa.
A return to regular traffic through the Red Sea following the ceasefire in Gaza would change that balance, and might lead firms to scrap older vessels, Fernandez added.
