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China’s Cosco says US port charges threaten global supply chains

April 22, 2025 2 min read
author Anamika Mishra [Sub Editor]

China’s largest container shipping company, Cosco Shipping Lines, has strongly opposed a recent decision by the U.S. Trade Representative (USTR) to impose new port fees on Chinese-built vessels docking at American ports. The company issued a sharp statement on Monday, calling the move "discriminatory" and damaging to global shipping.

“We firmly oppose the accusations and the subsequent measures,” Cosco said. “Such actions distort fair competition, disrupt normal operations of the global shipping industry, and threaten the security and stability of global supply chains.”

The criticism follows the USTR’s revised fee structure announced last week, replacing a more aggressive earlier plan that faced strong opposition from U.S. importers, exporters, and maritime industry stakeholders. The updated policy will impose fees based on a vessel's net tonnage or the number of containers it carries, whichever results in higher charges.

As the world’s fourth-largest container line, Cosco is expected to be significantly impacted by the new fees. The company operates major shipping routes between Asia and the U.S., often in partnership with OOCL (China) and Evergreen (Taiwan) under the Ocean Alliance. The USTR’s decision comes after an investigation concluded that China used unfair trade practices to gain dominance in the global shipbuilding and shipping sectors.

Cosco has denied those claims, stating:
“As a responsible global provider, we uphold integrity, transparency, and compliance in global trade. These measures undermine the healthy development of the maritime industry and the supply chain's resilience.”

The new U.S. port fees are set to take effect in October, as Washington seeks to revive domestic shipbuilding and reduce dependency on Chinese maritime infrastructure.




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Wheat arrivals, procurement gather pace

April 21, 2025 1 min read
author Anamika Mishra [Sub Editor]
related

In the first three weeks of the 2025-26 wheat procurement season (April-June), government agencies have accelerated purchases at Minimum Support Price (MSP), with arrivals in mandis gaining momentum. The procurement drive, led by the Food Corporation of India (FCI) and state agencies, is expected to peak within the next week.

So far, over 11.85 million tonnes (MT) of wheat have been procured, marking an 85% jump compared to the same period last year. Arrivals have crossed 17 MT across major states, with Madhya Pradesh leading at 4.71 MT, followed by Haryana (4.51 MT), Punjab (1.56 MT), Rajasthan (0.64 MT), and Uttar Pradesh (0.4 MT).

The government aims to procure 31 MT of wheat this season, largely from Punjab (12.4 MT), Haryana (7.5 MT), Madhya Pradesh (6 MT), Uttar Pradesh (3 MT), Rajasthan (2 MT), and Gujarat (0.1 MT). Officials are optimistic about meeting the target for the first time since the 2021-22 season, thanks to a healthy crop output across major producing regions.

With FCI supplying around 18.4 MT annually for welfare schemes, additional procurement will strengthen buffer stocks and support market intervention through open sales to stabilize prices. After a record 43.3 MT procurement in 2021-22, volumes had dipped to 18.8 MT in 2022-23 but have rebounded to over 26 MT in the past two years.


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