Rep. Vince Fong is moving to overturn the California port rules he says are driving up costs for families across the country through what he calls a hidden climate tax. The California Republican is pushing legislation aimed at a federal approval that allows the state to enforce the Vessel At Berth regulation, a rule that affects large ships docked at California ports and can trigger steep penalties for noncompliance.
Fong said the impact does not stop at the dock. He argued that shipping companies pass those costs through the supply chain and onto consumers. In an interview with Fox News Digital, he said every ship entering California is facing the added burden and described the rule as a cost that is being spread to Americans buying everyday goods. California ports handle more than 40% of the containers that enter the United States, giving the state’s rules an outsized reach over national commerce.
The regulation was authorized by the Environmental Protection Agency in 2020 during Gov. Gavin Newsom’s tenure. It requires certain large vessels, including cargo ships, to shut off diesel engines and use a state-approved emissions method while docked in California ports. Ships that do not comply can face penalties that Fong said may reach tens of thousands of dollars. California’s Air Resources Board enforces the rule, and the effect, he said, is to raise costs even when the compliance technology or infrastructure is not broadly available.
Fong said those higher costs show up in ordinary purchases. He pointed to Amazon orders, inventory for small businesses, grocery store shelves, and gasoline as examples of goods tied to shipping networks that run through ports. In his view, any added expense on that system travels outward and lands with consumers who are already struggling with the cost of living. He said shipping companies have paid hundreds of millions of dollars in penalties in the aggregate.