Shandong Port Group bans entry of US-sanctioned vessels

In an operation notice, but not an official company statement, Shandong Port Group said that it would strengthen operation management related to US-sanctioned vessels and those vessels will not be allowed to dock, unload cargos at the ports managed by Shandong Port Group including the three major hub ports, Rizhao and Yantai. 

The notice also said it was forbidden to provide shipping and ship services including logistics, trading, land and agent services, as well as vessel supplies to the US-sanctioned ships. 

The ban is expected to increase shipping costs for refiners in Shandong province and affect oil imports for Chinese companies mainly from Russia, Iran and Venezuela. Implementation of the ban will bring more severe challenges to local independent refiners in Shandong, four of which had already filed for bankruptcy till October 2024. 

Guo Jiakun, spokesperson from China’s Ministry of Foreign Affairs had responded to Shandong Port Group’s ban during a daily press briefing and said, “I’m not familiar with the specifics. More broadly, let me stress that China stands firmly against the US’ illegal unilateral sanctions and long-arm jurisdiction that have no basis in international law or authorisation by the UN Security Council.”

Shandong Port Group is a critical oil and container transport service provider in North China. The Group posted over 1.8 billion cargo throughput and 44 million teu container volume in 2024. Its crude oil imports account for over one third of the national volume and is an energy supply chain hub in global market. 

Yantai port in Shandong has newly commenced operation of a 3 million cubic metres crude oil depot area at the beginning of January 2025 to further stabilise the oil supply chain and the crude oil imports.