NIT LEAGUE PRESSES FOR JONES ACT WAIVER ON U.S. WEST COAST
The National Industrial Transportation League has again asked the U.S. Customs Service for a 90-day temporary waiver to the U.S.-flag vessel laws governing transport in domestic waters to reduce the container backlog on the West Coast.
The NIT League made its first Jones Act waiver request to Customs on Oct. 23. The waiver “would be an effective means of alleviating the congestion, delays, and stranded containers and equipment, that have resulted from the 10-day closure of the West Coast ports,” said Edward M. Emmett, president of the NIT League in a letter to Customs Commissioner Robert C. Bonner on Nov. 1.
The U.S Maritime Administration told Customs that waivers to the Jones Act should only be granted during times of national defense, and the current West Coast port labor strife doesn’t warrant this action. MarAd also said there were plenty of Jones Act carriers willing and able to move stranded containers between West Coast ports.
“Assuming this assertion is correct, it would be illogical to introduce more vessels into the already massively congested areas in and around the West Coast ports,” Emmett said. “It is the League’s view that the simplest and most efficient process available for handling the repositioning needs of shippers and carriers is to allow those vessels already calling at the ports to engage in such movements.”
The NIT League also cited that the exclusive use of Jones Act carriers would lead to further cost increases for shippers.
“The health of many shippers and carriers is already strained by current economic conditions,” Emmett said. “Adding more costs to transportation services that, in many cases, have already been contracted and paid for would only have further adverse repercussions for such businesses and the economy as a whole.”
The NIT League affirmed that it was not its objective to undermine the Jones Act or U.S.-flag carriers. “These are extraordinary circumstances which merit special action,” Emmett said.