Mariners, Shipbuilders Call on President to Put U.S. National & Economic Security First

 

The Offshore Marine Service Association (OMSA) today responded to an announcement by U.S. Customs and Border Protection (CBP) to withdraw its second proposal to modify and revoke letter rulings. This decision hurts American workers, vessel owners, and U.S. shipbuilders and prevents the creation of 3,200 new American jobs.

 

Obliging to foreign interests, the Office of Management and Budget (OMB) recommended a regulatory review process that will significantly delay the lawful and correct enforcement of the Jones Act which requires good moving between one U.S. port and another be moved on vessels that are U.S. built, U.S. owned and U.S. crewed. This delay will only hurt American mariners and shipbuilders while continuing to benefit foreign vessels, shipbuilders and crews, domestically operating contrary to U.S. law.

 

"The offshore service industry is deeply disappointed in the Administration's decision to delay the revocation of letter rulings that would correctly enforce the Jones Act and put American mariners first," said Aaron Smith, President and CEO of the Offshore Marine Service Association. "This decision to move to a regulatory review process is deeply damaging to the American crews, shipyards, and companies who have waited more than eight years while the Administration studied taking corrective action. Additionally, during this time our industry has invested more than $2 billion to ensure offshore production and exploration would not be disrupted, while foreign interests lobbied the U.S. government to promote their own economic interests through their promotion of false statements and scare tactics. We call on President Trump to take immediate action and correct these damaging rulings that have continued to put foreign companies first and American companies and workers last."

 

American mariners and shipbuilders are supported by industry and government leaders that understand the importance of restoring American jobs to the American economy and supporting the lawful interpretation of the Jones Act.

 

“We are disappointed the Administration chose to indefinitely kick this job-destroying regulatory can down the road,” said Matthew Paxton, President of SCA. “The correct interpretation and enforcement of the Jones Act is critical to the capitalization of the commercial shipbuilding and repair industry, and its industrial base, which is crucial to U.S. homeland and national security. This Administration's needless delay only hurts the more than 400,000 men and women of the U.S. shipyard industry.”

 

“The Administration’s decision today to delay the revocation of letter rulings impacting the lawful enforcement of the Jones Act in the Gulf of Mexico is extremely disappointing. This delay and move to a regulatory review process will damage our American mariners and domestic maritime industry, which is essential for U.S. economic security and job creation,” said Tom Allegretti, Chairman of the American Maritime Partnership. “The domestic maritime industry calls on President Trump and his Administration to take immediate action to return these jobs to our American mariners.”   

 

Numerous Congressional leaders vocalized their support for this corrective action taken by CBP, noting both the economic and national security benefits provided and the urgency for stopping foreign interests from influencing U.S. law. Copies of the respective letters submitted to Department of Homeland Security Secretary Kelly from 33 bipartisan members of the House of Representatives and 10 bipartisan Senators can be found here and here.

 

"The decision to change course on something so critical to the American maritime industry can only be explained as a move by government bureaucrats and credited to their extraordinary failure to understand the facts," said Rep. Duncan Hunter. "The Jones Act is a necessity for the protection and advancement of American maritime and this decision contradicts both the law and the President's own commitment in support of U.S. workers. It's a tremendous error in decision making that exemplifies what's wrong with the federal government."

 

OMSA continues to stand behind the facts and urges the Administration to support U.S. jobs, U.S. security, and the sovereignty of the nation by taking immediate action to enforce the rule of law.

 

U.S. vessels have the capacity to meet industry’s needs will continue to be tied up to the dock with American workers sent home while foreign vessels unlawfully profit with foreign crews at work.

 

 

Foreign interests influenced this decision through their distortion and distribution of false statements, which based their claims on matters, including heavy lift and pipelaying activities, which were not even included in the letter rulings under review.

 

This further delay will hurt American mariners and shipbuilders while continuing to benefit foreign workers.