The American Association of Port Authorities (AAPA) has warned the Office of the US Trade Representative (USTR) about the consequences of expanded tariffs on ship-to-shore (STS) cranes.
At a cost of up to US$14m per crane, an additional 25% tariff would significantly increase the cost of each crane and reduce the ability of ports to make other needed infrastructure investments to improve the supply chain, said AAPA president and CEO Kurt Nagle.
STS cranes and other tariff codes that include port equipment are back on the newest proposed list of tariffs which will affect imports from China into the US.
Nagle stated: ” Tariffs on port equipment will have a detrimental impact on ports and their ability to fund needed infrastructure investments, which will in turn impede US ports’ competitiveness with Canada and Mexico.”
He continued: “These tariffs would have severe consequences for public port modernisation programs. We urge you to once again delist port equipment, especially if made exclusively outside the US. STS cranes are of special concern due to their high cost; and no U.S. manufacturer exists.
“Many of the leading U.S. container ports have or plan to order these expensive pieces of cargo-handling equipment.”
Ports in Canada and Mexico can buy cranes to modernise at a significantly lower price if the proposed tariffs remain on the final list, he added.
Mobile lifting frames on tyres,straddle carriers, transporter cranes, gantry cranes and bridge cranes are also included on the proposed tariff list.