Trump sics DOGE on the Navy but ignores China port fees

Executive order beefs up enforcement of collection of Harbor Maintenance Tax 

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Key Takeaways:

President Donald Trump on Wednesday signed an executive order that moves the U.S. ahead on shipbuilding but doesn’t address controversial port fees on Chinese ships.

The order also directs Elon Musk’s Department of Government Efficiency to review how the Department of Defense orders new military vessels.

Trump’s directive calls for greater enforcement of the collection of the Harbor Maintenance Tax, including on imports entering the U.S. by land after unloading from ships at ports in Mexico and Canada.

Buried deep in the order was a call for DOGE to review vessel procurement processes by Defense and Homeland Security, with recommendations included in the Maritime Action Plan “to improve the efficiency and effectiveness of these processes.”

The executive order follows up on Trump’s initiative calling for a revitalization of U.S. maritime capabilities. That followed an investigation by the Biden administration finding China had leveraged unfair advantages to seek a dominant position in global shipbuilding and shipping.

To blunt China’s maritime influence, the U.S. proposed punitive charges on Chinese ships of as much as $1.5 million per port call. But opposition by maritime-related businesses led the administration to back off on implementation of the charges pending further review.

The executive order directs the departments of State, Defense, Commerce, Labor, Transportation and Homeland Security, as well as the United States trade representative to jointly submit a Maritime Action Plan by Nov. 6 but provided few details on what the plan should include.

Find more articles by Stuart Chirls here.

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Stuart Chirls

Stuart Chirls is a journalist who has covered the full breadth of railroads, intermodal, container shipping, ports, supply chain and logistics for Railway Age, the Journal of Commerce and IANA. He has also staffed at S&P, McGraw-Hill, United Business Media, Advance Media, Tribune Co., The New York Times Co., and worked in supply chain with BASF, the world's largest chemical producer. Reach him at stuartchirls@firecrown.com.