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White House Weighs Extending Jones Act Waivers

Renewed Iran-linked shipping threats have raised fuel-price risk, prompting officials to consider narrow route limits ahead of a likely late-July decision.

Overview

  • The administration is actively considering another temporary waiver of the Jones Act that would let foreign-flagged ships carry cargo between U.S. ports to ease domestic fuel movement.
  • Officials are discussing geographic restrictions that would limit which coastal routes foreign vessels could use as a way to narrow the waiver’s scope.
  • Energy, Transportation and Interior department staff have met with White House officials to evaluate options and trade-offs before making a near-term choice.
  • House Republicans and maritime industry groups argue the waivers threaten U.S. maritime jobs and domestic shipbuilding by shifting work to foreign operators.
  • Markets view an extension as a tool to blunt fuel price spikes by increasing shipping capacity, and observers will watch whether the administration’s decision changes regional supply flows and pump prices.