US gov’t flags Chinese-Polish shipping player as “PRC-controlled”
The US Federal Maritime Commission (FMC) has designated the Chinese-Polish state-owned Joint Stock Shipping Company (Chipolbrok) as a ‘controlled carrier’ of the People’s Republic of China (PRC).
As disclosed, the FMC has determined that the government of China was exerting more control over Shanghai-headquartered Chipolbrok’s corporate structure, as well as commercial activities, than the Polish partner.
Per the commission, Chipolbrok was flagged under the Shipping Act of 1984, which defines a “controlled carrier” as an ocean common carrier that is, or whose operating assets are, directly or indirectly owned or controlled by a government. The FMC has explained that the Act particularly covers those carriers that use low shipping rates to break into the United States economy and ‘undercut’ American shipping.
According to the US government agency, despite its status as a joint venture between China and Poland, the balance of power within Chipolbrok appears tilted decisively toward Beijing. Citing what prompted the agency to add the company to its list, the FMC noted in a filing that while ownership of Chipolbrok is officially split, the entity’s operational structure tells a different story, with its main offices in Shanghai and the Polish counterpart operating as a branch.
It was divulged that the Chinese side also has a larger executive team and more subsidiaries. What is more, state-owned maritime transportation titan COSCO Shipping—which is also on the FMC’s controlled carrier list—reportedly provides financial and logistical support to Chipolbrok.
As understood, the commission’s Office of the General Counsel (OGC) initially classified the Chinese-Polish Joint Stock Shipping Company on November 4, 2024, upon which Chipolbrok sought an extension to the 30-day deadline to contest the designation.
The shipping player was granted the extension, with the new date set for January 31, 2025. Despite filing a rebuttal, the FMC ultimately upheld the classification.
In addition to COSCO Shipping and Chipolbrok, the controlled carrier list, which was previously last updated in July 2024, includes Orient Overseas Container Line (OOCL), OOCL (Europe) Limited, Anji Shipping, Hede (Hong Kong) International Shipping, as well as South Korea’s maritime transportation major HMM.
To remind, Washington has targeted Chinese companies multiple times before, citing the efforts as methods to “curb China’s maritime dominance.” Following the early January 2025 addition of COSCO and 130 other companies to the list of sanctioned businesses with alleged ties to the People’s Liberation Army (PLA), late that same month, the Office of the United States Trade Representative (USTR) found that the Far Eastern country could be actionable under Section 301.
As a response, at the end of February, the USTR announced that a fee of up to $1.5 million could be charged to Chinese-built ships calling at American ports, a move that attracted some scrutiny as well as apprehension in the maritime industry as stakeholders began to brace for impact.
In April 2025, the Trump administration moved to make good on its promise concerning tariffs. However, the new fee strategy was watered down, with the US government now seeking charges ranging from $18 per net ton to $120 per container. The tariffs are due to take effect from October this year.
Responding to the fees, COSCO Shipping has concluded that the move posed ‘a tremendous threat’ to the ‘uninterrupted and sustainable’ functioning of the worldwide maritime transportation industry.
