A federal judge has ruled against a significant constitutional challenge to the Jones Act, marking a big win for the U.S. maritime industry and the Trump Administration’s support of America’s cabotage laws.
In a detailed 46-page opinion, Chief Judge James E. Boasberg, from the U.S. District Court for the District of Columbia, dismissed claims made by the Koloa Rum Company, based in Hawaii. They argued that the Merchant Marine Act of 1920, known as the Jones Act, violates the Constitution’s Due Process and Port Preference clauses. The distillery, supported by the Pacific Legal Foundation, claimed that the Jones Act's requirement for cargo between U.S. ports to be transported on American-built, American-owned, and American-crewed ships unfairly impacts non-contiguous states like Hawaii and Alaska.
Judge Boasberg disagreed, stating that the Jones Act is “neutral legislation” that does not favor any particular state's ports over others. He highlighted that the law is rooted in a long-standing tradition of cabotage laws and applies consistently across different transportation modes, including aviation. This, he explained, reflects a uniform national policy rather than discrimination against certain regions.
The court found that the law meets rational-basis standards, emphasizing the government’s interests in maintaining a robust domestic merchant marine, ensuring national security by having vessels ready for military use, and supporting American maritime jobs.
Industry groups in the maritime sector quickly praised the decision. Jennifer Carpenter, president of the American Maritime Partnership, said, “We commend the Trump Administration for strongly defending the Jones Act and the individuals who contribute to America’s national, homeland, and economic security. This ruling not only confirms the law’s constitutionality but also its vital importance to all Americans.”
Koloa Rum filed the lawsuit in February 2025, claiming the law raises costs for importing supplies and shipping products to the mainland. CEO Bob Gunter at that time stated, “The Jones Act hurts our business, and it also harms all residents in Hawaii.”
This case attracted national attention as it represented one of the most focused modern efforts to challenge this century-old law. Supporters noted a 2025 report by Seafarers Rights International, which found that 105 countries—covering more than 85% of global coastlines—have similar cabotage laws in place.
The Pacific Legal Foundation, which initiated the lawsuit, did not reveal its funding sources. Senior attorney Joshua Thompson argued that “Hawaii and Alaska are compelled to pay billions in additional costs due to a shipping law that Congress had no constitutional right to enact.”
With this challenge now dismissed, the ruling strengthens the legal basis of the Jones Act after years of occasional challenges, showing that courts are hesitant to overturn such a key aspect of U.S. maritime policy.