By Jarrett Renshaw
On August 10, President Donald Trump announced a 90-day extension of a waiver that permits foreign-flagged ships to carry oil and other goods between U.S. ports. This decision comes after shipbuilders and their supporters in Congress claimed that the policy was harming the U.S. maritime industry, according to the White House.
The extension, finalized on Monday, seeks to address disruptions in global oil supply caused by the ongoing conflict with Iran, which has led to increased fuel prices. This has created pressure on the administration to find solutions that prevent rising costs for gasoline and other energy sources.
White House spokeswoman Taylor Rogers stated that the 90-day extension will ensure that the U.S. military and important industries have continuous access to essential resources.
“Data shows that this waiver has resulted in a notable rise in domestic deliveries of crucial products like gasoline, diesel, and jet fuel,” Rogers mentioned in a post on X, a social media platform.
With the new terms, the administration has restricted the relief, requiring individual voyages to be assessed on a case-by-case basis, instead of allowing blanket exemptions for foreign ships under the Jones Act, as confirmed by a White House official.
The Jones Act mandates that goods transported between U.S. ports must be carried on ships that are built in the U.S., owned by American companies, and crewed by American workers. The aim of the waiver is to lower gas prices by boosting shipping flexibility and alleviating transport issues.
Previously, the waiver was set to expire on August 16 without this extension, making it the longest suspension of the century-old law in its history.