Topic: Ports

The U.S. will levy a cumulative 55% tariffs on Chinese goods, comprised of 25% on the majority of products announced by the White House during Trump’s first term in office, as well the 20% tariffs related to stopping the flow of fentanyl into the U.S. and the 10% universal tariffs, and China would apply a 10% tariff on U.S. goods;

This ruling allows the tariffs to remain intact amid the ongoing appeals process.

What will be the final outcome on industrial transportation from the White House’s ever-changing position on freight tariffs? And how does your company make decisions with so much uncertainty about tariffs?

May U.S.-bound container import volume—at 2,177,453 TEU (Twenty-Foot Equivalent Units)—was off 9.7% compared to April and down 7.2% annually.

The office of the United States Trade Representative (USTR) recently announced a public comment period on the Section 301 Investigation of China’s Targeting of the Maritime, Logistics, and Shipbuilding Sectors for Dominance on June 6, with a July 7 deadline for comments.

The May LMI reading, at 59.4, marked a 0.6% increase over April’s 55.8, while posting a 5.8% annual gain, as well as a 12.3% increase over May 2023’s 47.3. The impact of the aforementioned increased costs was evident in the report, as its authors explained inventory movements “slowed significantly compared to observations from earlier in the year.

Logistics industry braces for prolonged legal battle over IEEPA, as tariff status whiplash complicates supply chain strategy and capital planning.

In its ruling, the U.S. Court of International Trade stated the President Trump had misused the International Emergency Economic Powers Act (IEEPA) of 1997, in steps he took to implement tariffs on various consumer and industrial products, which include the 10% global tariff on U.S. trading partners and also 25% tariffs placed on Canada and Mexico, and 30% tariffs on China.

POLA reported that total April volume, at 842,806 Twenty-Foot Equivalent Units (TEU) increased 9.4% annually, for its third-best April on record. Total April POLB volume, at 867,943 TEU, marked a 15.6% annual gain, for the port’s strongest April in its history, topping April 2022 by 5.7%.

The firm reported that April imports, at 2.78 million TEU (Twenty-Foot Equivalent Units), increased 10.3% annually, matching March’s annual gain percentage. On a year-to-date basis through April, imports are up 7.9% annually, at 10.93 million TEU.

Under the terms of the agreement, the U.S. and China said in a joint statement that, effective May 14, U.S. tariffs on Chinese imports will drop from 145% to 30%, while China will cut its own tariffs on American goods from 125% to 10%. And President Trump’s 20% fentanyl-related tariff will stay in place, but most of the broader trade war measures will be temporarily relaxed. These changes will remain intact for 90 days, through August 12.

The report said that U.S.-bound imports are expected to be down at least 20%, from June into the fall, with the annual total potentially down by 10%.

In its “Intermodal Quarterly,” IANA reported that total first quarter volume, at 4,554,850 units, increased 6.3% annually, representing the sixth consecutive quarter of annual growth, following eight straight quarters of annual declines.

While there was a large amount of speculation regarding an anticipated drop in United States-bound import declines driven by the myriad trade policy and tariff actions put into action by President Trump since his return to office, that speculation has become reality, based on sentiment from various industry stakeholders.

A temporary tariff pause brings hope—but little clarity—as importers brace for rising costs, shipping delays, and volatile policy shifts.

Vinita Shrivastava, senior director of product management at Austin, Texas-based e2open, a network-based provider of cloud-based, mission-critical, end-to-end supply chain management platform services, provided LM with various insights on this investigation.

In an Executive order issued yesterday, President Trump again increased tariffs on United States-bound imports from China. The rationale for the increase, as noted in the Executive Order, is due to retaliatory actions taken by China in response to tariffs placed on it by the U.S.

Commerce reported that March retail sales, at $734.9 billion, increased 1.4% over February and 4.6% annually. NRF reported that March’s retail sales which are based on Census data and exclude automobile dealers, gas stations, and restaurants, increased 0.6% seasonally-adjusted, from February to March, and were up 5.07% on an unadjusted basis annually.

The firm reported that March imports, at 2.75 million TEU (Twenty-Foot Equivalent Units), rose 10.2% annually, rising for the 19th consecutive quarter. For the first quarter, total imports, at 8.14 million TEU, saw a 9.1% annual increase.

POLA reported that total March volume came in at 778,406 Twenty-Foot Equivalent Units (TEU), for a 4.7% annual gain, and the Port of Long Beach reported that total March volume, at 817,457 TEU, increased 25% annually.