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US to pause port fees, crane tariffs for one year under

Trump-Xi

deal

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USTR notice says US, China to negotiate over Section 301

trade

complaints

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US will work build up domestic shipbuilding capacity with

help

from allies

By David Lawder

WASHINGTON, Nov 6 (Reuters) - The Trump administration

said on Thursday it would pursue negotiations with China over

its dominance of shipbuilding and ocean logistics as it

formalized plans for a one-year pause on U.S. port fees on

China-linked vessels as part of a broader deal to reduce trade

tensions.

The U.S. Trade Representative's office said in a Federal

Register notice that it would pause for a year starting November

10 all punitive actions against China resulting from its

"Section 301" unfair trade practices investigation. USTR added

that it would accept public comments on the matter on November 6

and November 7.

The 12-month reprieve on an estimated $3.2 billion annually

in U.S. fees for large Chinese-built vessels sailing to U.S.

ports was among the agreements reached in South Korea by U.S.

President Donald Trump and Chinese President Xi Jinping in late

October. Also paused were 100% tariffs on ship-to-shore cranes

and container intermodal chassis for trucks.

"Pursuant to this deal, the United States would suspend for

one year, beginning on November 10, 2025, the responsive actions

taken in this investigation," USTR said in the notice. "The

United States also would negotiate with China pursuant to

Section 301 regarding the issues raised in this investigation."

The notice gave no details about how the negotiations would

begin, or what the objectives would be. It said that the U.S.

would continue its own efforts to revitalize domestic

shipbuilding, including through discussions with key allies and

partners.

A USTR spokesperson could not immediately be reached for

further comment. China's embassy in Washington also did not

immediately respond to a Reuters query.

China also had agreed to pause its own retaliatory fees on

U.S.-linked ships as part of the Trump-Xi de-escalation

agreement. Hawaii-based ocean shipping company Matson ( MATX )

said on Tuesday that it had paid $6.4 million in port fees to

China since they were implemented on October 14.

State-owned container line COSCO is the Chinese

shipper most exposed to U.S. port fees, which analysts said

could add up to $1.5 billion annually.