21 Sep KGFA Joins Industry Letter Seeking Extension of Section 301 Vessel Fee Suspension
Kansas Grain and Feed Association has joined a coalition of agricultural, business and maritime transportation organizations in requesting an extension of the current suspension of Section 301 vessel fees related to China-built vessels.
The joint letter, submitted to U.S. Trade Representative Jamieson Greer, asks the Office of the U.S. Trade Representative to extend the suspension, which is currently scheduled to expire Nov. 9, 2026. The letter was signed by organizations representing importers, exporters, retailers, manufacturers, agricultural interests, logistics providers and other users of the international freight transportation system.
The vessel fees are part of U.S. trade actions addressing China’s practices in the maritime, logistics and shipbuilding sectors. The current suspension began Nov. 10, 2025, following a U.S.-China trade agreement announced last November.
The letter acknowledges efforts to address concerns surrounding China’s position in the global maritime and shipbuilding industries while raising concerns about the potential effects of resuming the fees on U.S. businesses that rely on ocean transportation.
The organizations note continued pressure on U.S. supply chains, including elevated transportation costs, shifting carrier capacity, equipment availability challenges and constraints throughout port and inland transportation networks. The letter states that resuming the vessel fees could add another layer of cost and uncertainty to the transportation system.
For agricultural exporters, the letter notes that avoiding additional vessel fees could help preserve reliable and cost-effective access to foreign markets and support the competitiveness of U.S.-origin agricultural products abroad.
The letter also recognizes the importance of strengthening U.S. maritime and shipbuilding capacity. The organizations call for additional time for policymakers to pursue longer-term strategies and investments to expand domestic shipbuilding and maritime capabilities while considering the costs to businesses that rely on international transportation.
KGFA’s participation reflects the association’s interest in transportation and trade policies affecting the movement of agricultural commodities and the costs associated with getting U.S. agricultural products to domestic and international markets.
The coalition’s letter asks USTR to extend the suspension before its current expiration date, providing additional time for policymakers to address maritime and shipbuilding policy while maintaining greater certainty for businesses that rely on international freight transportation.