According to WPB, French maritime giant CMA CGM has decided to reorganize the deployment of its vessels across global routes in an effort to sidestep upcoming U.S. port tariffs targeting ships manufactured in China. The financial chief of the company, Ramon Fernandez, explained that this strategy is a direct response to the anticipated levies which will be implemented in the near future.
These new port charges present an additional challenge for international shipping companies already coping with the repercussions of ongoing U.S. trade policies. However, Fernandez noted that recent modifications by U.S. authorities, following strong opposition from industry players, have made the fee structure less severe than initially anticipated.
The U.S. administration has introduced the tariffs as a countermeasure to China’s dominance in the shipbuilding sector, aiming to encourage a resurgence in America’s maritime capabilities. CMA CGM, the world’s third-largest container carrier, intends to leverage its existing fleet capacity to mitigate the financial impact of these charges. According to Fernandez, fewer than 50% of the company’s approximately 670 ships were constructed in China, which allows room for strategic adjustments.
Under the new U.S. fee framework, ships both built and operated by Chinese companies will incur the highest charges when docking at American ports. Despite these penalties, Fernandez expressed confidence that shipping lines—including China’s COSCO—will adapt accordingly. He refrained from discussing how the new policy might affect the Ocean Alliance partnership, in which both CMA CGM and COSCO participate.
CMA CGM, which received praise from the U.S. government for announcing a $20 billion investment in American infrastructure, reported solid growth in its latest quarterly performance. A preemptive surge in shipments, driven by the looming U.S. tariff announcement, contributed to a 4.2% year-on-year increase in transport volumes, boosting the group’s overall revenue and earnings.
Owned by the Saade family of Franco-Lebanese heritage, the company also has significant interests in logistics and media. Like many peers in the shipping sector, CMA CGM observed a sharp decline in trade activity between China and the U.S. following a tariff escalation, before seeing a rebound due to a temporary agreement between the two countries to ease trade restrictions.
Fernandez confirmed that nearly half of the scheduled shipments for the China-U.S. route were canceled earlier in the season, although recent developments have revived booking activity. He stated that expectations for upcoming trade movements are now more optimistic than they were just several days ago. Nevertheless, he declined to forecast annual growth for the company’s container operations, pointing to continued uncertainty surrounding the fluctuating trade landscape.
By WPB
Bitumen, Shipping, Container, Vessel
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