Mar 6, 2025

Trump Prepares Bold Action to Rebuild US Shipyards and Counter China



The Trump administration is preparing to issue a sweeping executive order designed to rebuild the United States’ struggling shipbuilding sector, with a focus on countering China’s near-monopoly in global ship production. The order, which could be signed as early as next week, outlines several major policy changes targeting both military and commercial shipbuilding.

Under the plan, Chinese-built vessels calling at U.S. ports would face new fees, especially those operating in domestic shipping trades governed by the Jones Act. Furthermore, port cranes and cargo handling equipment sourced from Chinese manufacturers would also be subject to tariffs and operational surcharges.

To encourage domestic shipbuilding, the order creates a White House Office of Shipbuilding, which will act as a central policy hub to coordinate between the U.S. Navy, Coast Guard, the Maritime Administration (MARAD), and commercial shipowners. This office will also oversee new subsidies, tax credits, and direct investment programs aimed at modernizing outdated shipyards and attracting new orders.

The plan establishes a Maritime Security Trust Fund, which will channel federal funding into U.S. yards to enhance construction capabilities for both commercial vessels (like container ships and LNG carriers) and naval auxiliary vessels. This initiative fits into Trump’s broader America First industrial strategy, directly tying maritime security to economic policy.

Industry reactions have been mixed — U.S. yards and unions welcomed the support, while importers worry about higher shipping costs if fewer lower-cost Chinese ships are allowed into U.S. trades.

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