Trump Extends Jones Act Shipping Waiver by 90 Days Amid Iran War and Energy Disruptions

WASHINGTON:US President Donald Trump has extended a key shipping waiver for another 90 days amid rising energy transportation costs and supply challenges caused by the ongoing war with Iran.

According to AFP, the waiver allows certain foreign-flagged vessels to transport oil and other essential goods between US ports.

The exemption relates to the US Jones Act, which generally requires goods transported between two US ports to be carried on vessels that are US-owned, US-flagged and operated by American crews.

The White House said the latest 90-day waiver is narrower in scope than previous exemptions, with priority given specifically to the transportation of energy-related products.

White House spokeswoman Taylor Rogers said the decision was aimed at ensuring an uninterrupted supply of essential resources to the US military and critical industrial sectors.

She said available data showed that previous exemptions had significantly increased the domestic movement of essential products, including gasoline, diesel and jet fuel.

The decision comes as the war with Iran has disrupted global and US energy supplies. Rising tensions in the Strait of Hormuz and other key maritime routes in the Middle East have increased oil transportation, shipping insurance and freight costs.

The US government is concerned that further disruptions to global energy supplies could put additional pressure on gasoline, diesel and jet fuel prices in the United States.

In response, the Trump administration has temporarily eased certain Jones Act restrictions to maintain the domestic movement of energy supplies.

The new waiver will remain in effect for 90 days, allowing certain foreign vessels to transport essential energy products between US ports.

However, the narrower scope of the latest exemption indicates that the administration is seeking to address immediate energy supply challenges while maintaining the core framework of the Jones Act.