b'4American Journal ofTransportation ajot.com(STRATEGYcontinuedallies in the Pacific. lessexpensiveforeignbuiltproduce anything for the com- impossiblegiventhecom- from page 2) vessels. When the U.S.-buildmercial market , Im mind- plete lack of LNG tankers in support.(seeAJOTarti- caTo i nsTiTuTEp roposEs requirementwhich predatesfuloftheninetieswhenthe Jones Act fleet).cle,PASHAcitesTeamworka bolishingT hEJ onEsa cT the Jones Actwas first putNewportNewshadtheir inDeliveryofNewestJonesAt the same time, the Catoin place during the countrysDouble Eagle tanker programc aToa dVocaTEsActContainerShiphttps:// Instituteproposestorepealearly days, U.S. shipbuilders I recall they lost$200E liMinaTingc EnTralwww.ajot.com/insights/full/ theJones Act.CatosJoneswere some of the worlds mostmillion to $300 million on thatF EaTurEs oF ThEJ onEsa cTai-pasha-cites-teamwork-in- Act Reform project is led bycompetitive.Todaythefewprogram,andtheyhaventGrabow argues: The high delivery-of-newest-jones-act- research fellow Colin Grabowremaining U.S. shipyards arebeen back to the commercialcostofJonesActshipping container-ship) whoismakingwavesinthe worlds least efficient withmarket since then. fallsmostheavilyonresi-TheJonesActortherevealingtheconsequencesprices four to five times that ofdentsofthenon- contiguous MerchantMarineAct1920oftheJonesAct,whichships constructed abroad. caTo s aysM orEJ onEs states and territories for whom provides that cargoes carriedhasfurtherexacerbatedtheJonesActprotectionsa cTW aiVErsn EEdEd alternativemethodsoftrans-betweenU.S.portsmustbesupply chain crisis by requir- for U.S. shipbuilders do notGrabowwantsCongressportsuchastrucking,rail, transported on U.S. built ves- ingseatransportofcargoenhancenationalsecurity,toincreasewaiversoftheand pipelines are unavailable. sels, manned by U.S. crews,betweenAmericanportsbesoGrabowseesverylittleJones Act when no U.S. builtThis is not only economically andoperatedbycompaniesperformedbyshipsthatarevalue in U.S. shipbuilding.vessel is available to do theharmful but unfair. Although owned by U.S. citizens. TheU.S.built,owned,flagged,job.Forexample,offshoreJones Act supporters insist the aimistosafeguardnationalandcrewed,accordingtowind developers have soughtlaw is primarily meant to pro-securityandensureaU.S.Catos annual report. exemptionsfromtheJonesvide a fleet of merchant ships maritime fleet is available inThe Cato Institute reportActforwindfarmsupportand mariners to meet national a war time emergency.alsopraisedSenatorMikevessels:JonesActwaiv- security needs, the burden of KaskinandFuentessayLee(RUT)andRep.Tomersareextremelydifficultpaying for something ostensi-thatsafeguardingU.S.pro- McClintock(RCA)whoto obtain, subject to bureau- bly meant to benefit the entire tections of Jones Act carriers,have introduced several billscraticallyandpoliticallycountryisfarfromevenly shipbuilders,andmariners,aimed at dismantling nationalfraughtgauntlets,availablespread. Instead, over half the isvitalastheirlivelihoodsprotectionism,includingaforverylimiteddurations,Jones Act oceangoing fleet is arecomingunderattackfull repeal of the Jones Act. and restricted to those situa- employed serving the approx-byconservativefree-tradeInaMayinterviewtionsdeemedintheinterestimately 1.5 percent of Ameri-think-tanks such as the CatowithAJOT,ColinGrabowofnationaldefense.Apro- cansthatresideinAlaska, InstituteandtheHeritagediscussedCatoseffortstocessforobtainingwaiversGuam,Hawaii,andPuerto Foundation which ignore therepeal the Jones Act: It wouldbasedpurelyoneconomicRico and pay the tab for keep-economic and national secu- be a sea changeI think weneedisnon-existent.Thising these ships in service. ritybenefitsofcabotage.need dramatic change becauseColin Grabow means there is no mechanismGrabow says foreign flag Theseorganizationsrepre- things are in a bad state. Theresaverylimitedfor utilizing a foreign vesselvessels already sail up the Mis-sent an anti-federalist move- Grabowwrotethattheoverlapbetweencommercialwhen no Jones Act-compliantsissippi River as far as Baton ment within the United StatesJones Act U.S. build require- andnavalshipconstruction.vessel is available to performRouge,Louisianaandsohe that is undermining the mari- ment should be eliminated asIf you look at the biggest USa needed task (e.g., transport- does not see why foreign flag timesecurityoftheUnitedNo aspect of the Jones Act isnavalshipyards:BathIron- ingliquefiednaturalgastovesselstransportingcargoes States as China poses a grow- more damaging than its pro- works,HuntingtonIngallsPuerto Rico or New England,(STRATEGYcontinued on ing threat to Taiwan and U.S.hibition on the use of vastly(NewportNews)theydontsomethingthatiscurrentlypage 6)No dwellmost productive portin North Americatime. CONTAINER PORT PERFORMANCE INDEXJust on time. Welcome to done.We move fast. And we go further for you. The Port of Wilmington connects you to the Midwest region via the Wilmington Midwest Express in as little as five days. And we offer competitive rates, efficient on-port operation and a standard of service you wont find anywhere else. Welcome to the port where fast is just the beginning. 800.213.4430 // NCPorts.com'