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Rep. Garamendi introduces bill to strengthen U.S. maritime industry

H.R. 6455, the “Energizing American Maritime Act,” would require that up to 30 percent of exports of LNG and crude oil travel on U.S.-flagged vessels.

   U.S. Rep. John Garamendi, D.-Calif., ranking member of the Coast Guard and Maritime Transportation Subcommittee, has introduced H.R. 6455, the “Energizing American Maritime Act,” which seeks to strengthen the U.S. domestic maritime industry.
   Offered on a bipartisan basis with Rep. John Duncan, R.-Tenn., the bill would require that up to 30 percent of exports of liquefied natural gas (LNG) and crude oil, what he called “strategic energy assets,” travel on U.S.-flagged vessels.
   Garamendi pointed out how 99 percent of the nation’s trade travels on foreign-flagged ships.
   After World War II, the nation’s oceangoing fleet of U.S.-flagged ships totaled 1,200, but today, its fewer than 80, according to Garamendi.
   “This isn’t just an economic concern – it’s also a national security risk,” Garamendi said. “We can’t rely on foreign-flagged vessels to provide the necessary movement of strategic materials in a time of war. Requiring even a minority of strategic energy asset exports to be carried on U.S.-flagged ships will compel us to rebuild the technical skill to man these vessels – and with that comes good, high-paying, maritime jobs.”
   Garamendi’s office said the legislation has strong support from the domestic maritime industry.
   Various leaders from several unions and industry groups said the legislation would be beneficial to the U.S. economy by generating more jobs, and would be beneficial to the nation’s national security.
   Marine Engineers Beneficial Association President Marshall Ainley said, “The legislation would revitalize the maritime industry by creating thousands of seafaring jobs. Not only important to our economic security, a strong commercial fleet is crucial to our national security as it maintains a base of trained mariners who are prepared to serve the U.S. military.”
   Navy League National Executive Director Cari Thomas said, “The Department of Defense depends on the Merchant Marine for over 95 percent of our national defense sealift needs in times of war or national emergency. Replacing this sealift capacity would cost the Department of Defense billions of dollars.”
   Garamendi said he has also introduced separate legislation, H.R. 6454, which would require the same percentage of LNG and crude oil exports travel on ships that are not only U.S.-flagged, but also built in American shipyards, and looks forward to building bipartisan support for this language in the next Congress.

Chris Dupin

Chris Dupin has written about trade and transportation and other business subjects for a variety of publications before joining American Shipper and Freightwaves.