If the U.S. fines China-built containerships millions, one ocean carrier says it's likely to abandon the market and freight rates head back to Covid levels.

Atlantic Container Line, an ocean carrier which handles large industrial items including the wings for Airbus planes, says it will be forced to abandon the U.S. market if the government follows through on threats to fine Chinese-built shipping vessels.

Its CEO Andrew Abbott tells CNBC that freight rates will head back to Covid surge levels and there will be no economic rationale to continue to operate as a niche freight company within the U.S.

“This hits American exporters and importers worse than anybody else,” says Abbott. “If this happens … we’re going to have to shut down.”

It would be the end of the treat era for USians. treatler stalin-gun-1

  • ChaosMaterialist [he/him]@hexbear.netEnglish
    4·
    2 months ago

    This is as much a :biden-alert: as it is a :cheeto-man:

    The policy proposal, begun under the Biden administration and culminating in a January report concluding China’s shipbuilding industry had an unfair advantage, would allow the U.S. government to impose steep levies on Chinese-made ships arriving at U.S. ports. For Chinese-owned operators (such as Cosco), a service fee of up to $1 million could be charged on each vessel. For non-Chinese-owned ocean carriers with fleets containing Chinese-built vessels, the service fee would be up to $1.5 million for each U.S. port of call.

    All this reeks of lobbying.