Jones Act is an impediment to interstate commerce

Washington Examiner:
The recent hurricanes affecting coastal states have renewed calls to reform or repeal the Jones Act, an obscure, century-old shipping law designed to protect American maritime interests and shipbuilders.

Enacted in 1920, the federal law prohibits tankers from hauling oil between U.S. ports unless those vessels are American-made, flagged and manned by a crew that is 75 percent U.S. citizens.

The Trump administration this month extended a temporary waiver to the Jones Act in response to fuel shortages caused by Hurricanes Harvey and Irma, to allow foreign-flagged vessels to meet demand.

But some lawmakers and experts say the waivers prompted by the hurricanes showcase the need to repeal a law they view as protectionist and anti-competitive, making it harder to move goods to market, and raising prices for consumers.

Because of the high cost of using vessels that qualify under the Jones Act, critics say coastal shipping has declined, even though infrastructure experts contend it could be more efficient than delivery by trucks or rail.
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While the law was intended to help US workers, it sometimes has the opposite effect because it makes it cheaper to use foreign oil and oil products than US oil and refined products because it is cheaper to import in some cases.  So what it really does is harm other US workers for the benefit of the few and also harms US consumers.

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