MID-SHIP Fertilizer – Mar 10, 2025

March 10, 2025

Market Overview:

Activity in the market remains quiet mainly due to ongoing uncertainty stemming from the US Trade Representative’s recent developments – The US administration has implemented significant trade policies, including a 25% tariff on imports from Mexico and Canada and a doubling of duties on Chinese goods to 20%. These measures have sparked trade wars with major trading partners, leading to retaliatory tariffs from Canada and China. This could have a significant impact on dry bulk trade. The tariffs are expected to alter dry bulk trade flows, with potential shifts in trade routes and demand patterns. Other countries will also seek retaliatory measures. China has announced tariffs on various commodities, which will likely impact US exports and dry bulk shipping volumes overall. The dry bulk market is facing uncertainty due to these geopolitical developments. The long-term effects on trade flows and shipping demand will need to be closely monitored.

The SHIPS for America Act and recent USTR proposals are drawing significant attention in the US maritime sector. The SHIPS Act, described as the largest maritime legislation since the Great Depression, aims to bolster the domestic maritime industry. Meanwhile, the USTR’s proposal to impose a service fee on Chinese-built or managed vessels calling at US ports is expected to face legal challenges. The SHIPS Act also proposes creating a Maritime Security Trust Fund to support US shipbuilding, funded by duties and tariffs collected by Customs and Border Protection. Industry stakeholders are closely monitoring these developments, with key hearings scheduled for March 24.

We will continue to keep you posted on these developments.

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