President Donald Trump extended a Jones Act waiver Friday for another 90 days, keeping a temporary exemption in place as fuel prices remain elevated during energy market disruptions tied to the conflict with Iran.
The extension follows an initial 60-day waiver issued in March. National average gas prices remained above $4 per gallon this week, according to AAA. White House assistant press secretary Taylor Rogers said on X that new data showed significantly more supply reaching U.S. ports faster under the waiver.
She added that the extension provides “certainty and stability for the U.S. and global economies.”
The Jones Act, formally the Merchant Marine Act of 1920, requires goods shipped by water between U.S. ports to travel on vessels that are American-built, American-owned, American-flagged, and primarily crewed by U.S. citizens. Federal officials can issue waivers under national defense authority, but supporters of the law argue repeated use undercuts the policy’s purpose.
The Trump administration has framed the waiver as a targeted response to supply pressures from the Iran conflict and disruptions around the Strait of Hormuz. AAA listed the national average for regular gas at $4.086 on April 25.
Reform Advocates See Bigger Problem
Proponents of broader reform say the waiver highlights deeper flaws in the century-old law. In an April 22 opinion piece in RealClearPolicy, Kent Strang, managing director at Americans for Prosperity, argued that the Jones Act constrains supply, drives up costs and has decimated the industry it was meant to protect.
He wrote that compliant ships cost four to eight times more to build than foreign vessels and more than twice as much to operate, contributing to what he described as a fleet that has shrunk to just 92 oceangoing vessels.
“Congress should take note of the White House’s example and make this a permanent reform,” Strang argued.
Genevieve Collins, Texas state director for Americans for Prosperity, echoed that view in a statement to The Dallas Express. She pointed to data showing the U.S. accounts for just 0.04 percent of global commercial shipbuilding output.
Collins said the law makes domestic shipping far more expensive, leading to lower demand for American vessels and fewer jobs.
“Repealing the Jones Act would not significantly weaken the domestic maritime industry or threaten national security,” she said. “While there would certainly be an adjustment period, lowering costs and incentivizing innovation would likely strengthen, not weaken, the industry in the long run.”
Policy analyst Colin Grabow of the Cato Institute offered a similar assessment. He disputed claims of a 52 percent fleet decline since 2000, calculating a roughly 22 percent drop in self-propelled oceangoing ships over 1,000 gross tons, from 119 in 2000 to 93 in December 2025.
Grabow argued that repeal would allow fleet modernization, lower shipping costs and increased demand. While some jobs might shift, he said coastal and inland operations using tugboats and barges would likely see more work for American mariners.
On shipbuilding, he predicted gains in repair and maintenance even if large oceangoing vessel construction moved overseas.
Maritime Groups Warn Of Harm
Opponents counter that the waiver — and any push toward repeal — threatens American jobs, shipyards, and national security. Jennifer Carpenter, president and CEO of the American Maritime Partnership, said the waiver has not delivered the consumer relief its supporters promised. Global crude markets drive fuel prices more than coastwise shipping rules, she argued.
Carpenter also raised concerns about limited transparency on the volume of cargo moved under the waiver. She said broad suspensions create uncertainty for companies making long-term investments in vessels expected to last 30 to 50 years.
“The waiver has not delivered the consumer relief its advocates promised,” Carpenter told DX. She added that targeted 501(b) waivers exist for genuine shortages and that broad suspensions risk discouraging billions in investments pledged under promises to restore American maritime strength.
Anthony Poplawski, president and secretary-treasurer of the Marine Firemen’s Union, warned in an email to DX that full repeal would “annihilate the U.S. maritime industry and shipbuilding capacity in the same manner that the manufacturing, textile and steel industries have been annihilated by direct foreign competition.”
He said the current waiver provides short-term profits to oil traders without lowering gas prices for consumers and that extensions would favor foreign vessels with built-in cost advantages.
As previously reported by The Dallas Express, maritime unions raised similar concerns after Trump issued the first 60-day waiver in March. The Marine Engineers’ Beneficial Association warned that even temporary waivers could destabilize domestic operations and send the wrong signal to investors.
Union leaders also argued that global crude oil prices, not domestic shipping rules, remain the main driver of gasoline costs.
Supporters of keeping the law point to its role in maintaining domestic control of supply chains. Opponents, including Strang, cite studies estimating that the law raises annual petroleum costs by roughly $769 million and imposes significant burdens on states like Hawaii and Alaska.
The debate reflects a broader fight over national security, jobs, and economic efficiency in maritime policy. The president has not indicated plans for permanent repeal, but Friday’s extension keeps the issue alive as fuel prices remain elevated.
