Maritime Industry Urges Trump to Let Jones Act Waiver Expire November 15

The American Maritime Partnership (AMP) is urging President Donald Trump to allow the emergency Jones Act waiver to expire on November 15, warning that nearly eight months of exemptions have failed to lower fuel prices while undermining investment in the U.S. maritime industry.

In a letter sent to the White House on Election Day, November 3, AMP President Jennifer Carpenter argued that extending the waiver again would directly conflict with the administration’s stated goal of restoring American maritime dominance.

“The waiver responded to an extraordinary energy disruption, but after eight months, the record is clear: continuation of the waiver threatens to curtail your ambitious agenda to unleash investment that will restore American maritime dominance,” the letter states.

The appeal carries the backing of AMP’s leadership, representing a broad cross-section of the domestic maritime industry, including vessel operators, shipbuilders, dredging companies and maritime labor organizations. The organization’s board includes representatives from Crowley, Matson, Kirby, TOTE, Pasha Hawaii, and the American Waterways Operators, among others.

The Trump administration first issued the waiver on March 17 in response to energy market disruptions caused by the war with Iran. The measure temporarily allows foreign-flagged vessels to transport certain cargoes between U.S. ports, an activity normally reserved for qualified American vessels under the Jones Act.

The administration subsequently extended the waiver twice, most recently in August, when it introduced new requirements for reviewing individual foreign-vessel movements.

Those changes require the Maritime Administration to determine whether qualified U.S. vessels are available before foreign ships can be authorized to carry domestic cargo.

AMP acknowledged that the revised process has reduced foreign-vessel activity while allowing essential cargo to continue moving. However, the organization argues that even the narrower waiver is doing lasting damage to the industry.

Among its central claims is that the waiver has provided little, if any, benefit to American consumers.

According to AMP, published analyses have found no demonstrated reduction in retail fuel prices attributable to the waiver, with the maximum estimated effect on gasoline prices amounting to less than half a cent per gallon.

The organization argues that allowing foreign vessels into domestic trades does nothing to resolve the underlying problems driving energy prices, including disrupted global shipping routes, constrained inventories and refining economics.

AMP also raised concerns about the involvement of foreign shipping interests, claiming that more than 28% of reported waiver voyages involved vessels or companies directly linked to China.

The letter specifically points to Chinese shipping giant COSCO and raises broader concerns about vessels operating in domestic trades with foreign crews, including Russian mariners.

Perhaps the most significant concern raised in the letter is the impact on future maritime investment.

AMP says industry participants have reported more than $2.6 billion in delayed investments involving new vessels and shipyard expansion. The organization also cites more than $700 million in planned Jones Act dredging vessel investments that have been deferred amid uncertainty surrounding the waiver.

The figures are based on industry reports cited by AMP.

The organization argues that shipowners and lenders need confidence in long-term domestic cargo demand before committing capital to vessels and infrastructure that may remain in service for decades.

The letter follows growing scrutiny of the waiver from lawmakers and maritime labor organizations.

As gCaptain reported last week, nine maritime labor organizations recently raised concerns about compliance with federal reporting requirements, immigration laws and the national defense justification for foreign-vessel movements.

Those concerns have also drawn attention from congressional lawmakers, who have questioned whether the prolonged waiver remains consistent with the national defense authority under which it was issued.

AMP maintains that allowing the current waiver to expire would not prevent the administration from responding to legitimate emergencies. The organization points to existing authority under 46 U.S.C. 501(b), which permits targeted waivers when national defense needs cannot be met by available U.S. vessels.

The decision now rests with the Trump administration. Under current Customs and Border Protection guidance, cargo transported under the existing waiver must be loaded before 11:59 p.m. Eastern Time on November 15.

For AMP, the approaching deadline presents an opportunity for the administration to demonstrate that its support for American shipbuilding extends to protecting the domestic market on which the industry depends.

“Let American mariners carry American cargo. Let American shipyards build the vessels America needs. Let American investment strengthen American maritime power,” Carpenter wrote.

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