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Noncontiguous Shipping Relief Act of 2024

2/26/2025, 6:53 PM

Summary of Bill HR 667

Bill 119 hr 667, also known as the "Noncontiguous Trade Act," aims to amend title 46 of the United States Code to permit the transportation of merchandise in noncontiguous trade on foreign-flag vessels. This means that goods can be transported between US ports that are not part of the contiguous 48 states, such as Hawaii, Alaska, Puerto Rico, and Guam, on foreign-owned ships.

The bill seeks to promote more efficient and cost-effective transportation of goods to these noncontiguous regions by allowing foreign-flag vessels to participate in this trade. Currently, only US-flag vessels are allowed to transport merchandise between US ports, which can be more expensive and less competitive than using foreign-flag vessels.

Supporters of the bill argue that allowing foreign-flag vessels to participate in noncontiguous trade will lower shipping costs, increase competition, and improve access to goods for residents of these regions. They also believe that it will help to stimulate economic growth and create jobs in the maritime industry. Opponents of the bill raise concerns about national security and the potential impact on the US maritime industry. They argue that allowing foreign-flag vessels to transport goods between US ports could weaken the US maritime sector and compromise national security interests. Overall, the Noncontiguous Trade Act aims to address the challenges and inefficiencies in transporting goods to noncontiguous regions of the US by allowing foreign-flag vessels to participate in this trade. The bill is currently under consideration in Congress and has sparked debate among lawmakers and stakeholders in the maritime industry.

Congressional Summary of HR 667

Noncontiguous Shipping Relief Act of 2024

This bill establishes a limited exception to coastwise laws to allow foreign-flag freight vessels to transport merchandise domestically to or from a port in the noncontiguous United States. The bill also addresses various issues related to foreign-flag freight vessels engaged in coastwise trade (i.e., domestic waterborne trade between U.S. ports). 

Under the coastwise laws, commonly known as the Jones Act, a freight vessel may not transport merchandise between U.S. ports unless it is U.S.-built, at least 75% owned by U.S. citizens, and mostly crewed by U.S. citizens. The bill authorizes qualifying foreign-flag vessels to transport merchandise between (1) a port in the contiguous United States and a port in the noncontiguous United States (i.e., Alaska, Hawaii, Puerto Rico, or a U.S. territory or possession); or (2) two ports in the noncontiguous United States. 

Under the bill, all foreign-flag freight vessels operating in U.S. coastwise trade must comply with the (1) minimum international labor standards applicable to U.S. seafarers, and (2) same environmental standards that apply to U.S. vessels.

The bill authorizes such operators to participate in the Longshore and Harbor Workers’ Compensation program on behalf of masters and crew members they employ.

The bill also requires foreign-flag vessel owners and operators engaging in coastwise trade to identify an agent for service of process, abide by U.S. tax and other laws, and maintain specified documentation on board. Additionally, lawsuits against such vessels alleging personal injury or death must be brought in U.S. district court. 

Current Status of Bill HR 667

Bill HR 667 is currently in the status of Bill Introduced since February 4, 2025. Bill HR 667 was introduced during Congress 119 and was introduced to the House on January 23, 2025.  Bill HR 667's most recent activity was Sponsor introductory remarks on measure. (CR E90-91) as of February 4, 2025

Bipartisan Support of Bill HR 667

Total Number of Sponsors
6
Democrat Sponsors
6
Republican Sponsors
0
Unaffiliated Sponsors
0
Total Number of Cosponsors
2
Democrat Cosponsors
0
Republican Cosponsors
2
Unaffiliated Cosponsors
0

Policy Area and Potential Impact of Bill HR 667

Primary Policy Focus

Transportation and Public Works

Alternate Title(s) of Bill HR 667

To amend title 46, United States Code, to allow transportation of merchandise in noncontiguous trade on foreign-flag vessels, and for other purposes.
To amend title 46, United States Code, to allow transportation of merchandise in noncontiguous trade on foreign-flag vessels, and for other purposes.

Comments

Layla Dougherty profile image

Layla Dougherty

463

9 months ago

This bill is so dumb, like why are they even wasting time on it? It's like, just let it happen already. I don't get why people are so worked up about it. Just let it do its thing.