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Lawmakers Target California's Vessel At Berth Rule as Hidden Shipping Tax

Rep. Vince Fong is pushing a bill to overturn a federal authorization that lets California charge large ships for emissions, which he says inflates prices for goods nationwide.

Representative Vince Fong is leading an effort to repeal a Biden-era rule that authorizes California to levy large fines on cargo ships that fail to shut down diesel engines at its ports. The rule, known as the Vessel At Berth regulation, was granted by the Environmental Protection Agency in 2020 under Governor Gavin Newsom and empowers the California Air Resources Board to require ships to use state-approved emissions strategies or face penalties that can reach tens of thousands of dollars per day.

Fong says the fines are transferred to consumers across the United States, raising prices for everything from online purchases to gasoline because California ports process more than 40% of U.S. containers. A Senate counterpart introduced by Senator Dan Sullivan asserts that Alaskan families also bear these added costs. The proposed bill would enable Congress to review the EPA's authorization, echoing a request from the Trump administration in July 2026, and could set a precedent for other states seeking similar EPA approvals.

Why it matters

If upheld, the rule could increase nationwide consumer prices and encourage other states to adopt comparable shipping penalties.

In this story

Vessel At Berth regulationhidden climate taxshipping penaltiesconsumer pricesport trafficEPA authorizationCARB emissions rule