Atlantic Container Line (ACL), a specialized ocean carrier responsible for transporting large industrial cargo, including Airbus aircraft wings, has warned that proposed U.S. government fines on Chinese-built ships could force it to exit the American market. CEO Andrew Abbott cautioned that if the penalties are implemented, freight rates could return to the record-high levels seen during the COVID-19 pandemic, making it economically unfeasible for ACL to continue operating in the U.S.
“This will hit American exporters and importers the hardest,” Abbott stated. “If these fines take effect, we won’t have a choice—we’ll have to shut down.”
ACL, the world’s longest-running container line and a subsidiary of Italy’s Grimaldi Group, specializes in transatlantic trade, uniquely operating combination container-roll-on-roll-off (ConRo) vessels between North America and Europe. If forced out of the market, domestic manufacturers would lose their only North Atlantic carrier headquartered in the U.S. ACL is a critical link for industries shipping oversized equipment, construction machinery, and agricultural tools, as well as Airbus wings manufactured in the U.S. and transported to the U.K. 
The fines, under consideration by the U.S. Trade Representative (USTR) as part of a broader policy to counter China’s dominance in shipbuilding, would impose service fees of up to $1 million per vessel for Chinese-owned carriers like Cosco. Non-Chinese-owned companies operating Chinese-built vessels, such as ACL, would face even steeper penalties of up to $1.5 million per port call.
ACL’s official submission to the USTR outlined the severe impact the penalties would have on its business, making it impossible to compete against larger shipping lines unaffected by the measures. “If these fines are imposed, we’ll be completely uncompetitive in U.S. trade lanes,” Abbott emphasized.
Abbott highlighted that larger global shipping firms could absorb the additional costs more effectively, whereas niche carriers like ACL would have to pass on substantial price increases to customers. “While major operators might spread the impact across a vast fleet, we’d be looking at additional charges of $2,000 to $2,500 per customer, compared to around $800 for the biggest players. In this industry, that difference is enormous—it could force us out of business,” he explained.
If ACL withdraws from the U.S. market, Abbott noted that their fleet would likely be redirected to Asian trade routes, further reshaping global shipping dynamics. The proposed fines aim to revive the U.S. shipbuilding industry, but Abbott and other critics argue that the policy will ultimately penalize American businesses rather than effectively counter China’s dominance.
“The irony is that the companies the government wants to target—major Chinese shipping firms—may end up facing minimal impact, while smaller U.S.-linked operators will bear the brunt of the penalties,” Abbott remarked. “It’s the wrong solution to a real problem.”
Beyond ACL’s closure, the policy would also lead to job losses among the company’s 300 U.S.-based employees and affect thousands more workers in the supply chain, including truck drivers and warehouse personnel. The USTR hearings, which have gathered testimony from over 300 trade groups and industry representatives, will determine the fate of the proposed measures in the coming months.
