How Section 301 Tariffs Will Impact Freight Costs — and What You Can Do Now
Los Angeles, April 28, 2025
I think we can all agree the last couple of weeks have been pretty interesting, to say the least. Between constant tariff updates and global trade shifts, it feels like we’re stuck in a never-ending cycle of change. For those of us in freight and logistics, every adjustment hits even harder because we’re on the front lines and often the first to feel the impact.
Not a Tariff Expert (But Here's What Experience Tells Me)
I want to take a moment to address something that’s quickly creeping up on us that seems to be flying under the radar: the USTR Section 301 proposals and their potential impact on our industry. With tariffs taking center stage in global trade talks, it’s easy to get lost in the noise.
But as logistics professionals, we need to be thinking ahead, not just about tariffs, but about the ripple effects they’ll have on things like equipment fees and the other associated costs that come with them.
Now, I won’t sit here and pretend to be an expert in tariffs (I was that B student in Econ, after all... shoutout to Professor H! I made the mistake of taking that class at 7 a.m. on Monday mornings, basically signing my own death certificate 😅).
But here’s what I know for sure:
- When tariffs rise, revenue drops.
- When revenue drops, companies act quickly to recover losses.
- The easiest way? Higher D&D charges, increased accessorial fees, and rising chassis rates.
New Port Entry Fees on the Horizon: What’s Floating Down the Canal?
Starting October 15, 2025, the U.S. will apply port entry fees on Chinese-built vessels. The charges will be based either on:
- ~$50 per net ton
- ~$120 per container
And these fees will increase every year for the next three years.
In simple terms:
➡️ Expect higher equipment-related costs.
➡️ Expect tighter margins across the board.
If you lived through the container shortages and fee hikes during COVID, this will sound familiar.
So, What Does This Mean for Us?
For the logistics community, this is a cold splash of water to the face. The tariffs on maritime equipment could be just the beginning. The reality is that these changes will cause a lot of pain points in the short term and leave you exposed to increased (unplanned) costs in the long term, including higher daily rates, shorter free times, contract walk-backs, and greater resistance to disputes.
But there’s hope! By staying ahead of the curve and understanding how these changes will unfold, we can navigate this storm without it wreaking havoc on our bottom lines. Companies that adopted a proactive approach after the last disruptions are faring better now. Those that sought better visibility into their shipping costs and automated auditing tools are saving millions by catching those inflated charges before they snowball.
The Waters Ahead: Decisions made now will set the tone for the future
We’ve been through rough waters before. One thing about the logistics community is that we have thick skin and consistently find creative and effective ways to come out on top. This is our chance to make sure we don’t go down the same path again. The tariffs may take effect in 2025, but the decisions we make today will determine how well we weather the storms to come.
Businesses that adopt automated audit solutions, like what BlueCargo offers, will be best positioned to reduce exposure to rising costs and keep their logistics operations running smoothly.
Now is the time to plan. Don’t wait until the fees hit hard.
Let’s Tackle This Together
At the end of the day, the key to success in logistics—and in life—is being able to adapt quickly. We’re in this industry together, and by staying informed and prepared, we’ll come out the other side stronger than ever.
Let’s talk about how we can protect your bottom line, reduce your risk, strengthen your supply chain resiliency, and make sure you come out on top.
Sincerely,
Pedro Matias,
Your Friendly Neighborhood D&D Fighter
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For all updates and resources on Tarrifs, you can check our articles HERE.
