U.S. trade policy shifts impact ocean freight and tariffs

The ocean freight market is entering a period of stability ahead of September, influenced by significant shifts in U.S. trade policy. Recent developments include a Presidential Proclamation under Section 232, which imposes tariffs between 15% and 100% on foreign drones and components to bolster national security. Additionally, the U.S. Court of International Trade upheld the suspension of the $800 de minimis exemption, a move that subjects low-value e-commerce parcels to formal customs entries.

Trade friction has also increased in North America, leading to emergency negotiations between U.S. and Canadian officials to prevent a 50% Section 338 tariff deadline on Canadian goods.

Regarding shipping costs from China to the U.S., rates to the West Coast are hovering between $7,000 and $7,500 per forty-foot equivalent unit (FEU), though promotional rates can lower usable levels to approximately $5,700-$6,300. In contrast, rates to the U.S. East Coast remain higher, sitting between $9,800 and $11,000 per FEU, with very few discounted options available for shippers.