AFL-CIO Metal Trades Dept. Seeks Ruling for Jones Act

Friday, May 19, 2006
The AFL-CIO Metal Trades Department (MTD), representing workers at Aker Shipyard in Philadelphia, has urged the U.S. Coast Guard to investigate the yard's "partnership" with South Korea's Hyundai Mipo Dockyard to determine whether ships Aker is building, specifically a series of ten Veteran Class MT-46 Product Tankers, comply with the requirements of the Jones Act. The Department has also held discussions with key members of Congress to start inquiries on the Hill. The Jones Act and other maritime laws require that shippers use vessels built in the United States and owned by United States citizens to haul commodities between U.S. ports. MTD maintains that Aker's relationship with Hyundai violates the terms of the Jones Act. Aker is importing prefabricated steel bulbous bows and stern tubes directly from Hyundai. In addition, Aker is importing pre-assembled equipment modules and other components from HMD and other South Korean companies for the construction of double hull tankers that Aker intends to be used in the Jones Act market.

"Congress passed the Jones Act to protect the United States shipbuilding industry so that, in times of emergency, our country has the facilities and the employees to produce vessels. The MTD believes that Aker's practices undermine the Jones Act by allowing important components of these vessels to be prefabricated or preassembled overseas rather than in the United States generally, or at the Philadelphia Shipyard in particular," declared MTD President Ron Ault. "We have it on good authority that the ship Aker is now building comes right out of boxes brought in from South Korea," he added. Ault charged that Aker is also violating the terms of the partnership agreement with the city of Philadelphia and the state of Pennsylvania that brought them into the Philadelphia Shipyard in the first place. "This is little more than a 'paint by numbers' prefabricated South Korean 'Kit' ship," Ault said. "We are talking about over 300 shipping containers of pre-assembled ship modules and components from South Korea and Germany. It isn't like we can't do this work. We built the first four ships for Matson Lines, proving we can build American Jones Act ships in Philadelphia. Now, they are bringing in everything already pre-assembled right down to things as simple as ladders and piping." Aker's forerunner, Kvaerner Shipbuilding, was granted subsidies worth over $500 million to bring commercial shipbuilding back to the Philadelphia region. The pact includes a $1 per-year lease on the old Philadelphia shipyard grounds. Under the terms of that deal, the company agreed to rehire shipyard workers displaced with the shutdown of the Navy Shipyard and to set up apprenticeship programs to train local workers. Leaders of the Philadelphia Metal Trades Council say that Kvaerner has brought in foreign shipyard workers to "train" U.S. workers in how to bolt and weld together the pre-fabricated parts. However these foreign workers usually are given a section of the ship to complete at the Philadelphia yard without any U.S. workers being assigned to that project.

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter April 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Shipbuilding

Crewboat Built with Italian Flair

Newly built Crewboat represents excellence in Italian design, quality in construction   There is something about Italian products, from consumer goods to industrial objects,

New Pilot Boat Delivered to Sabine Pilots

Sabine Pilots in Port Arthur, Texas has received a new all-aluminum pilot boat, Port Arthur.   With a deep-V hull designed by C. Raymond Hunt Associates, the

Interview: 50 Years in the Polymer Repair Market

With 50 years dedicated to polymer coating and composite manufacturer Belzona, Geoff Binks looks back on his experience in the industry and maintenance sector.   Geoff

Passenger Vessels

Italy Rescues Nearly 1,800 Migrants in Mediterranean

Italian vessels have helped rescue nearly 1,800 migrants from boats trying to reach Italy from north Africa in the last 24 hours, the navy said on Friday, indicating

Raytheon Anschütz Steering Gear Control for Luxury Cruise Ships

The German navigation system manufacturer Raytheon Anschütz was awarded a retrofit contract of steering gear control systems for two luxury cruise ships chartered by Noble Caledonia Ltd.

Ferry Drydocking Completed on 2-day Turnaround

Great Lakes Shipyard hauled out the Kelleys Island Ferry Kayla Marie on April 18 for its USCG five-year inspection survey. The yard completed all work, and refloated the vessel two days later,

 
 
Maritime Contracts Maritime Security Maritime Standards Naval Architecture Navigation Offshore Oil Pod Propulsion Salvage Sonar Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0812 sec (12 req/sec)