WASHINGTON—Today, The Heritage Foundation issued the following statement in response to the finalized bill text for the ‘Ships for America Act.’ This bipartisan legislation—introduced by Senators Mark Kelly (D-AZ) and Todd Young (R-IN)—would bolster and incentivize Navy shipbuilding. The bill offers tax credits and deductions for shipbuilders, technological breakthroughs, and an expanded maritime workforce, among other items.

Heritage Senior Research Fellow for Naval Warfare and Advanced Technology Brent Sadler stated:

“After decades assuming we’d always have access to overseas markets and a strong enough maritime industry, our nation today relies on non-friendly nations’ shipping and shipbuilding. This has made us too vulnerable - especially to Chinese coercion. Today, Congress, in a refreshing bi-partisan, bi-cameral way released the first comprehensive attempt to begin reversing this trend with the Ships for America Act

“Only with a viable and globally competitive maritime industry can this weakness be sustainably reversed. For over 100 years, the Jones Act was meant to address this, but by not focusing on enhancing American competitiveness in the global market space, it alone has not delivered.

“The goal of this bill must be a national maritime rejuvenation founded on nurturing a favorable business environment here at home, in league with like-minded nations, and fostering a revolution in shipping that America can lead. As drafted, the bill does not do enough to leverage America’s advantages to innovate and grow its latent industrial power.

“Overall, today’s Ships for America Act represents a first attempt to comprehensively address a strategic vulnerability that places our economy, prosperity and defense at grave risk, but more work is needed by the next Congress to ensure the outcomes required.”

Heritage Director for Energy, Climate, and Environment Diana Furchtgott-Roth added:

“It’s troubling that America can’t ship natural gas from Alaska to the Lower 48 and from the Lower 48 to Puerto Rico, as well as to New England. Real people face higher heating bills, and this problem needs to be addressed.”

Heritage Jay Van Andel Senior Policy Analyst in Trade Policy Andrew Hale concluded: 

“The Jones Act is not working and has never delivered a competitive edge. The United States has lost its global competitiveness in shipbuilding, and the Ships for America’s Act is an effort to reverse this, but much more work needs to be done.”