Americas News
Jones Act Support and US Shipbuilding Woes Take Center Stage at Hearing
On Wednesday, the US Coast Guard and Maritime Transportation Subcommittee Chairman and Congressman Mike Ezell held a meeting focused on developing the nation's maritime infrastructure.
"It is clearly critical that we must build a safer and more efficient system," Ezell said during the hearing titled America Builds: Maritime Infrastructure.
Ezell expressed full support for the Jones Act, stating that "the Jones Act is quite literally the bedrock and foundation of our nation's shipbuilding industrial base because it helps to maintain a pool of qualified American mariners that we rely on to transport goods and our military, in times of peace and war."
The Jones Act is a US law that requires goods transported between US ports to be carried on ships that are built, owned and crewed by Americans.
However, some argue that it raises shipping costs and restricts competition, while supporters of the act say it protects American jobs and shipbuilding capacity.
Joe Rella, President of St Johns Ship Building, testified on behalf of the Shipbuilders Council of America, emphasizing that failing to enforce the Jones Act or weakening it through short-term policies harms the US maritime industry and job creation.
"For example, a 2017 decision by the Customs and Border Protection allowed certain foreign-built, foreign-crewed, and foreign-owned offshore supply vessels to operate in violation of the Jones Act, Rella said in his testimony.
"This decision led to the cancellation of numerous construction contracts for new 'Made in the U.S.A'. vessels due to the uncertainty introduced by executive actions that contravene Congressional intent."
Ezell also raised concerns about the decline in US shipbuilding capacity.
"Unfortunately, the rise of the shipbuilding industries of global competitors has led to a decline in our own shipbuilding capacity.
"Coastal Mississippi and the Gulf Coast as a whole, is home to several shipyards employing thousands of Americans. I look forward to discussing ways to reinvigorate this critical industry." Ezell noted.