Shipping companies are putting fleet renewal plans on hold amid market uncertainty and evolving environmental regulations. Short-term profitability and cautious investment dominate industry decision-making for now.

The United States has imposed a new 25% tariff on $34 billion worth of Chinese imports, escalating trade tensions. Meanwhile, international efforts toward a 10% global minimum corporate tax gain momentum among major economies.

Anticipation of U.S. trade tariffs and China’s economic stimulus fueled a sharp rise in dry bulk freight rates in March 2025. The Baltic Dry Index jumped 67%, with strong gains across capesize, panamax, supramax, and handysize sectors.

The USTR’s proposed $1.5 million fee on Chinese-built ships has sparked backlash from the maritime industry, citing trade disruption and rising costs. Experts warn it could harm U.S. competitiveness without meaningfully reviving domestic shipbuilding.

The U.S. Trade Representative has proposed a $15 million fee per Chinese vessel entering U.S. ports to counter China’s shipping subsidies.

Global piracy incidents slightly declined in 2024, but Somali piracy resurfaced, and violence against seafarers increased. High-risk areas include the Gulf of Guinea, the Singapore Strait, and the Western Indian Ocean.