President Trump inks executive order to ‘restore American maritime dominance’

The President of the U.S., Donald Trump, has signed an executive order seeking to “restore American maritime dominance” as uncertainty lingers over the global shipping market amid geopolitical tensions and the U.S.-China maritime rivalry. The latest developments seem to be taking a toll on Chinese shipyards as well, with newbuild orders declining in favor of South Korean yards.

Donald Trump’s newly unveiled tariffs and pending decisions on the Office of the United States Trade Representative (USTR) proposed port fees to Chinese vessels raise concerns in the global shipping market which is reflected in last week’s orderbook.

While overall shipbuilding activity is robust, led by Greek owners, the number of orders at Chinese shipyards declined, in favor of South Korean yards, Greek shipbroking services provider Intermodal reported.

Among the newbuilding orders, two were placed at Chinese shipyards. Namely, Taiwan’s U-Ming placed an order with Qingdao Beihai Shipyard for two scrubber-fitted, 180,000 dwt bulk carriers. Each vessel is estimated to cost between $75–79 million, with delivery expected between 2027 and 2028.

Swiss player Mediterranean Shipping Group (MSC) ordered two plus two LNG dual-fuel Ro-Pax vessels from China’s Guangzhou Shipbuilding International (GSI) at $160 million per unit.

On the other hand, South Korean shipyards dominated the last week’s orderbook with six new deals.

Capital Shipmanagement contracted Hanwha Ocean for two scrubber-fitted 320,000 dwt tankers at $128.5 million each, with delivery scheduled for 2027. The shipowner also secured slots for twenty containerships in total at Hyundai Mipo and Hyundai Samho. The latter is set to build six 8,800 TEU LNG dual-fuel boxships, at a price of $140 million each while Hyundai Mipo received an order for fourteen units in total – six of 1,800 TEU and eight of 2,800 TEU, worth $45 million and $55 million respectively. All deliveries are expected between 2027 and 2028.

Greek owner Centrofin ordered two Suezmax tankers from Samsung Heavy Industries at $81.3 million each, set for delivery in 2028. UK-based Purus Marine also turned to South Korea with an order for 180,000 cbm LNG-fueled gas carrier from Hyundai Samho at a price of $261.8 million.

On April 9, the U.S. President signed “a historic Executive Order to restore American maritime dominance”, mandating the creation of a Maritime Action Plan (MAP) to revitalize U.S. maritime industries.

The MAP will provide a strategy with specific actions to restore and create sustained resiliency for the American maritime industry.

The order seeks to reverse the government procurement processes and over-regulation which hindered private industry’s ability to build vessels on time and on budget. It also instructs the Secretary of Defense to assess options, including the Defense Production Act Title III authorities, to invest in and expand the Maritime Industrial Base.

Furthermore, the order directs the USTR to make recommendations regarding “China’s anticompetitive actions within the shipbuilding industry”. It also directs the Secretary of Homeland Security to enforce collection of the Harbor Maintenance Fee and other charges on foreign cargo entering the United States to prevent circumvention via Canada or Mexico.

Speaking to the U.S. Congress at the beginning of March, President Donald Trump proposed a ‘sweeping’ plan to revive U.S. shipbuilding, pledging renewed efforts to strengthen both military and commercial vessel production.

President Trump vowed in his address to ‘counter China’s dominance’ in global vessel production by ramping up domestic manufacturing capabilities and announced the establishment of a brand-new Office of Shipbuilding in the White House and the introduction of special tax incentives for shipyards to ‘bring back’ manufacturing to U.S. shores, “where it belongs”.

In an attempt to curb China’s dominance in maritime, in late February 2025, USTR proposed a measure to charge a fee of up to $1.5 million for Chinese-built vessels entering U.S. ports. This measure, along with several others, targets Chinese ship operators and Chinese-built vessels and promotes the transport of U.S. goods on domestic vessels.

The World Shipping Council (WSC) has urged the USTR to abandon its proposal for retroactive fees on port calls for Chinese-built vessels, citing both economic and industry impact concerns. Although WSC underscored its support for the USTR’s ambition of breathing new life into the U.S. maritime sector, the organization has nonetheless expressed strong opposition to the $1.5 million fees, warning that the proposed tariffs could exacerbate inflation for U.S. consumers as well as businesses, jeopardize jobs and ‘disproportionately’ harm United States-based farmers and other exporters.