USTR Tariffs: How to Calculate Your Extra Shipping Costs from Asia to North America

Changes in trade policies can feel like a ripple effect, and for businesses importing goods, especially those relying on shipping containers, these ripples can translate into real costs. The United States Trade Representative (USTR) has recently introduced new service fees that specifically target container ships, and if your business moves goods from Asia to the West Coast of North America (WCNA), it's crucial to understand how these changes might affect your budget.

What's Happening with USTR Service Fees?

Starting October 14, 2025, new service fees will apply to container ships entering US ports. These fees are set to increase gradually over the next three years. The goal is to address certain trade practices, and while the details can be complex, the main takeaway for businesses is that shipping costs for some routes are likely to go up. There are different fee structures depending on who operates the ship. For Chinese (PRC, Hong Kong, or Macau) operators and owners, the fees are based solely on the ship's net tonnage. For other operators using China-built ships, the fees are either per container or based on net tonnage, whichever amount is higher. It's also important to note that these fees apply per "rotation" or "string" of US port calls, and can be charged up to five times per year per ship.

Estimating Your Additional Costs

So, how do you figure out what this might mean for your business? Let's consider a typical container service route from Shanghai (Asia) to Los Angeles (WCNA). While exact figures will vary based on your specific contracts and the ships used, we can look at some estimates to get a general idea of the additional costs per container. According to recent projections, the estimated additional cost on a typical Asia-WCNA container service could range from around $200 to over $1,400 per container by April 2028, depending on the operator and effective date. For example, a non-China operator using a China-built ship could see an additional cost of about $195 per container by April 2027. These figures are a percentage of the general World Container Index (WCI) for the Shanghai-to-Los Angeles route, which was around $2,683 per 40ft container as of April 2025. This means that by October 2025, non-China operators using China-built ships might see an additional cost that's roughly 7% of the WCI SHA-LAX rate. This percentage is expected to increase to 11% by April 2027 and up to 13% by April 2028. For China operators, the impact is even more significant, with additional costs potentially reaching 53% of the WCI SHA-LAX rate by April 2028.

What Can One Way Lease Do to Help?

While these tariff changes can present challenges, understanding them is the first step in adapting your strategy. At One Way Lease, we recognize the complexities of global logistics and the importance of efficient and cost-effective solutions. Whether you're looking to buy or lease containers, or need custom modifications, our aim is to provide comprehensive services that help you navigate the evolving shipping landscape.

We encourage you to review your current shipping contracts and work with your logistics partners to assess how these USTR proposals might specifically impact your business. Staying informed and proactive is key to managing potential cost increases and ensuring the smooth flow of your supply chain. If you have questions about container solutions that can help optimize your operations amidst these changes, don't hesitate to reach out to our team of experts.