This week, the US Trade Representative held a hearing on a plan to impose up to $1.5 million in fines on Chinese ships that dock in US ports.
In written evidence provided earlier this month, West Virginia Coal Association President Chris Hamilton stated that the fines would be damaging to West Virginia coal production.
“No matter how well-motivated the proposed trade action may be,” says Hamilton, “if completed it will have an immediate and adverse impact on coal production and employment in the state of West Virginia and other coal-producing regions and states.”
Hamilton stated that the export market is an important part of the state’s coal sector. He claimed that around half of the coal produced each year is exported, and that figure is increasing.
According to Hamilton, West Virginia is the nation’s biggest coal exporter, and its coal has replaced poorer grade or Russian coal in many European and Asian countries.
However, he said that the introduction of ship fees would drive West Virginia coal out of the seaborne energy markets.
“The adverse consequences of limiting West Virginia coal exports will extend beyond economic impacts to the state,” Hamilton stated, “and include our allies and global energy trading partners that are increasingly relying on U.S.-mined coal to avoid energy-driven political entanglements with hostile nations.”
Hamilton is among the witnesses slated to appear before the United States International Trade Commission in Washington on Wednesday.
Trump’s proposal seeks to end China’s dominant position in global shipping and logistics.