Pago Pago, AMERICAN SAMOA — The president’s plan to revitalize the U.S. shipbuilding industry proposes stacking fees on China-linked/ built vessels that could top $3 million per U.S. port call.

According to Reuters, the Trump administration says the fees would curb China's growing commercial and military dominance on the high seas and promote domestically built vessels.

These fees would be applicable to Chinese vessels stopping in American Samoa.

Congresswoman Uifa’atali Amata, in a press release, said that she has sent a letter to the United States Trade Representative, the Honorable Jamieson Greer, as well as submitted her message via the public comment portal, and Monday she attended the the United States Trade Representative (USTR) hearing, in support of her call for a local exemption from expected USTR shipping fees on Chinese ships, as American Samoa relies on certain vessels that serve the port of Pago Pago without reasonable possibility of alternative shipping services.

According to Amata, the United States Trade Representative (USTR) is considering increased service fees to $1.5 million or $1,000 per net ton for Chinese-built vessels per entry, based on China’s targeting of Maritime Logistics, and Shipbuilding sectors for dominance. 

“I respectfully urge the Office of the United States Trade Representative (USTR) to reconsider its approach to countering Chinese dominance in the global shipbuilding industry by narrowing the scope of the proposed fees or reversing course until a more comprehensive strategy can be developed as it relates to American Samoa.

“The only U.S. territory south of the Equator, American Samoa is 7,000 miles from Washington, D.C. and over 4,000 miles from the California coast. We are unique in our geography and location and accordingly limited in our alternatives.

“Therefore, an exemption is necessary especially as we are outside the U.S. Customs Zone,” stated Congresswoman Amata in her letter addressing Ambassador Greer. 

“This action seeks to increase service fees to $1.5 million or $1,000 per net ton for Chinese-built vessels per entry. This change would be severely detrimental to American Samoa, as both vessels currently servicing our US-American Samoa trade route are Chinese-built.

“The proposed fee increase could cripple our supply chain and lead to a catastrophic economic impact,” Amata stated.

“Most concerning for American Samoa’s port, the proposed fees would incentivize ocean carriers to consolidate traffic to the nation’s largest ports, while cutting out small ports like ours from their routes and leave us stranded for service,” said Amata. “This would not only cause significant congestion at large ports but the collapse of business lines at small ports like ours would be devastating.

“The results would be terrible inflation, high unemployment, and a higher dependence on subsidies from the Federal government to our local economy so please help us with a hand-up and not a hand-out by granting an exemption or other appropriate work around.”

Amata made clear, “While I fully support the President and his goal of long-term revitalization of U.S. manufacturing and shipbuilding, the proposed language that applies to vessels constructed in the past- when U.S. options were not available in the remote area of American Samoa-would be a devastating shock to our local economy and threaten the livelihood to our tuna cannery workers and suppliers.

“We are a limited industry area with a single tuna cannery as our largest private sector job creator with over 25% of jobs related to it.  Over 80% of our economy, imports, and exports are also tied to our cannery.”

Amata continued, “Our ability to combat Chinese influence in the Pacific region is first predicated on maintaining a stable economy. Any interruptions caused by the proposed fees would damage and possibly kill our small business supply chain, undermining our ability to prioritize and grow local American businesses.” 

She said, “The Deeds of Cession refer to the treaties by which the Samoan chiefs ceded the islands of Tutuila and Manu'a to the United States, establishing American Samoa as a U.S. territory, with the Tutuila Deed of Cession signed on April 17, 1900, and the Manu'a Deed of Cession on July 16, 1904.  These Deeds are codified in 48 USC Chapter 13 as 48 USC § 1661, which accepts, ratifies, and confirms these cessions, including the requirement of economic development.

“The United States has and should continue to recognize that the territories require a more nuanced approach when it comes to protecting American interests.

“I urge you to find an exemption for American Samoa given its unique location and status as a protected territory wherein the United States is charged with aiding the development of the economy of American Samoa under the codified Deeds of Cession.”