China US Seafood Trade Faces 145 Percent Tariff Shock Halting Over 10 Billion Yuan in Exports

China’s seafood processing industry is facing a dramatic standstill as escalating tariffs between China and the US wipe out nearly all existing export orders. On April 9, President Trump announced a sweeping 145% tariff on Chinese imports, and China swiftly responded with an 84% counter-tariff on US goods, sending shockwaves through one of the most interdependent segments of bilateral trade: seafood.

Across major processing hubs like Qingdao and Dalian, companies are reporting that virtually all US-related orders have been suspended, including long-standing deals involving Alaskan frozen fish re-exported to the US after processing in China. “No one even checks if it’s 125% or 145% anymore,” a Qingdao exporter said. “All we know is orders are off the table.”

Even deals using US-origin raw materials are now in limbo. While US customs authorities initially stated that goods with at least 20% US content could be exempt from tariffs, the April 10 policy revisions omitted this clause, throwing the trade community into confusion. Some US suppliers are now rerouting orders to Vietnam, Indonesia, and India, where only 10% duties apply.

In 2024, China imported 174,000 tons of Alaskan fish, mainly cod, salmon, pollock, and halibut. Most of these products were meant to be reprocessed and sent back to the US. China’s exports to the US of frozen fish fillets hit 106,000 tons worth $659 million last year—products now effectively frozen out of the pipeline due to the tariff war.

Though China’s customs authority confirmed that bonded imports can still enjoy duty-free export processing, the new rules eliminate flexibility for switching to the domestic market. “If you want to sell domestically, you must declare and trace every gram of bonded input,” said CAPPMA president Cui He. “No more grey areas.”

Implementation is proving more complex than the policies suggest. A blanket ban on bonded inputs entering the domestic supply may undermine processors’ ability to manage inventory risks and react to sudden market shifts. Many are now reevaluating their operational models entirely.

With some American buyers already shifting their supply chains out of China, it’s clear this is no longer just a cost issue—it’s a full-system disruption. “This isn’t just about seafood. It’s a geopolitical chess game,” said Cui. “Eventually there will be talks, but volatility will rule until then.”

Until that day comes, China’s seafood processors must diversify, innovate, and adapt if they want to survive what could be a prolonged trade confrontation.