The geopolitical impact of China’s dominance in the shipbuilding industry is becoming clearer.
The Pentagon announced Tuesday that it has added China’s largest shipping company, COSCO Shipping Holdings Co., and two shipyards to its membership. list Number of “Chinese military companies” operating directly or indirectly in the United States. The list is ostensibly aimed at highlighting the role that private companies, universities and research programs play in Beijing’s policies. military-civilian fusion strategyleverage these organizations’ advanced technology, intellectual property, and expertise for China’s military and economic development.
Blacklisting is an authority of the Office of the United States Trade Representative. Section 301 Investigation The impact on China’s maritime and shipbuilding practices continues. The investigation was launched in April 2024 in response to a petition filed by the United Steelworkers and four other unions that denounced China’s dominance of the global shipbuilding industry, which was not developed through fair economic practices. started.
surely, A series of market manipulation actsThanks to forced technology transfers and incredible financial support from the state, China’s shipyards have mushroomed. China now produces more than half of the world’s ships, but U.S. shipyards are struggling. Once the world leader in shipbuilding, the U.S. Only 10 commercial ocean vessels are produced each year. China, on the other hand, produces more than 1,000.
“The biggest obstacle to U.S. shipbuilding is China’s unfair trade practices. Countries seeking to develop maritime capabilities are not to blame, but Beijing’s ambitions go far beyond that.” said Scott Paul, president of the American Federation of Manufacturers. testified He spoke at the House of Representatives China Select Committee in June of this year.
Meanwhile, Capitol Hill is grappling with its own response to growing concerns at China’s shipyards. In December of this year, Sens. Mark Kelly (D-Ariz.), Todd Young (R-Ind.), and Reps. John Garamendi (D-Calif.) and Trent Kelly (R-Mississippi) Shipbuilding and Port Infrastructure for American Prosperity and Security (SHIPS) Act. The bipartisan bill aims to revitalize the critical sector through consistent funding and domestic shipbuilding incentives.
The public is also wary of China’s surprising maritime superiority. An overwhelming majority of U.S. adults (82%) agree that China’s dominance of the shipbuilding industry is a concern, with 32% saying they are “very concerned.” recent votes revealed.
As tensions with China rise, the economic and security implications of China’s vast shipbuilding capabilities will understandably come under increased scrutiny. Strong investment in U.S. domestic shipbuilding capacity is an essential part of the solution. The United States must work to reestablish leadership in maritime commerce and defense.