As the massive pink-hulled container ship ONE Modern pulls into the Port of Hong Kong, its crew rushes to offload more than 700 containers within a tight 10-hour window.
But beyond the daily logistics lies a broader crisis rippling through global supply chains, as the U.S.-China trade war once again upends the shipping industry.
With a temporary pause on new U.S. tariffs expiring 12 August, companies are racing to move goods out of China and into the U.S., hoping to beat the deadline. The situation has introduced severe uncertainty into an already strained global supply system.
“The indices for unpredictability and chaos are actually at an all-time high,” said Roberto Giannetta, chairman of the Hong Kong Liner Shipping Association.
Despite an agreed framework for a trade truce reached in London last week, few in the industry expect stability anytime soon. Trade between China and the U.S., which exceeded $688 billion in 2024, continues to be a pillar of global commerce—but one now mired in unpredictability.
Scramble to beat tariffs
Many U.S. businesses, fearing new levies, are stockpiling goods. Factories in China are running at full capacity, and shipping lines are operating under immense pressure to deliver cargo before the tariff window closes.
“Companies want to front load, because they simply don’t know what reality will look like just a few weeks down the road,” said Jens Eskelund, president of the EU Chamber of Commerce in China.
The container ship ONE Modern carries everything from toys and furniture to car parts. It will travel more than 10,000 nautical miles, passing through China, South Korea, the Panama Canal, and finally Houston, Texas.
Tariff turmoil hits U.S. businesses
Back in the U.S., companies like Learning Resources, a Chicago-based educational toy firm, are feeling the strain. CEO Rick Woldenberg said his firm faces “tremendous destruction of wealth” due to shifting tariff policies.
“We have absolutely no idea what the rules will be when the product arrives,” he said.
Nearly 80% of toys sold in the U.S. are made in China, and the toy industry has been particularly hard hit. Learning Resources has even taken legal action against the Trump administration’s tariffs, though an injunction remains in limbo.
Relocating production to the U.S., Woldenberg says, isn’t a feasible alternative:
“Moving manufacturing to the U.S. is a bureaucrat’s fantasy… the capacity simply doesn’t exist.”
Retailers brace for shortages, consumers for higher prices
Trump has dismissed concerns about tariffs, saying Americans don’t need as many imported goods.
“Maybe the children will have two dolls instead of 30,” he said at a cabinet meeting in April. “Maybe the two dolls will cost a couple of bucks more than they would normally.”
But industry leaders warn the impact will be significant and unavoidable.
“Retailers will run out of product,” Woldenberg said. “They can call it tariffs or whatever they want, but it’s a tax and they’ve turned our company into a tax collector.”
Giannetta agreed, adding that all tariff-related costs “get pushed down to the consumer.”
Shipping stays the course
Despite the upheaval, the shipping industry remains resolute.
“Shipping always continues, no matter what you throw at it,” said Giannetta. “This is an industry that doesn’t stop.”
Having weathered the pandemic, canal blockages, and conflict-related risks in recent years, shipping crews continue to operate at the frontline of geopolitical and economic shifts—steering through uncertainty as another global trade storm brews.
Iran’s Foreign Minister Abbas Araghchi said Tehran has “no trust” in the United States and will only consider negotiations if Was...
Georgia is positioning itself as a future energy bridge between the Caspian and Europe, backed by major infrastruc...
Uzbekistan’s Department for Combating Economic Crimes says it has uncovered a ...
Russia and Ukraine exchanged prisoners of war as well as...
Iran’s Parliamentary Speaker Mohammad Bagher Ghalibaf warned that the U.S. military blockade of Iran’s southern ports could trigger a n...
Georgia is positioning itself as a future energy bridge between the Caspian and Europe, backed by major infrastructure plans and growing EU support. But behind the ambitious pitch lies a far more complicated political reality.
Uzbekistan’s Department for Combating Economic Crimes says it has uncovered a large-scale fraud and corruption scheme linked to labour migration to South Korea, with estimated damages reaching $90 million.
Russia and Ukraine exchanged prisoners of war as well as the bodies of fallen soldiers, on Friday (15 May). The swap came as Ukranian officials said Moscow had carried out its largest aerial attack over 48 hours since the conflict started.
Iran’s Parliamentary Speaker Mohammad Bagher Ghalibaf warned that the U.S. military blockade of Iran’s southern ports could trigger a new global financial crisis as the Tehran-Washington standoff around the strategic Strait of Hormuz persists.
Iran’s Foreign Minister Abbas Araghchi said Tehran has “no trust” in the United States and will only consider negotiations if Washington shows seriousness. His remarks came as talks on Iran’s nuclear programme continued, with Trump and Xi also opposing Iran acquiring nuclear weapons.
The U.S.-Israeli war with Iran loomed over U.S. President Donald Trump's visit to China, as signs emerged that the conflict is causing a shift in alliances across the Middle East.
Thousands of fans turned out in Iran's capital Tehran for a massive farewell ceremony on Wednesday night for their national football team, wishing them success before their departure for the World Cup 2026 matches co-hosted by the United States and Mexico.
Ukraine has stepped up attacks on Russian energy facilities in recent months, amid stalled progress in peace negotiations. The strikes have targeted refineries, processing plants, pipelines and export infrastructure, causing repeated disruptions across Russia’s energy sector.
Negotiations between Samsung Electronics and its workforce on Wednesday have broken down, officials said, raising fresh concerns over potential disruption to South Korea’s export-heavy economy.
China has launched the world’s first experiment to study how artificial human embryos develop in space, marking a major step in understanding whether humans could one day reproduce beyond Earth.
Every day, an elderly woman in China’s Shandong province looks forward to a video call from her son. He asks about her health, tells her he has been busy with work, and promises he will come home once he has saved enough money. She tells him she misses him. He tells her to take care of herself.
Deep in the ancient forests of southern China, researchers have discovered a small, shy snake with an extraordinary survival trick: when threatened, it creates the illusion that it has two heads.
Egyptian authorities have unveiled two restored ancient tombs in Luxor alongside a rare artefact linked to King Tutankhamun, offering visitors new insight into life and burial practices during the New Kingdom more than 3,000 years ago.
A U.S. Department of Justice official said Washington was preparing to indict former Cuban president Raúl Castro in connection with the 1996 downing of aircraft operated by "Brothers to the Rescue", a Miami-based exile group that conducted search-and-rescue flights for Cuban migrants.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment