White House may allow foreign-flagged ships to transport fuel between US ports to mitigate supply risks from Iran conflict.
The White House is reportedly considering an additional extension of Jones Act waivers as geopolitical tensions with Iran raise concerns over fuel supply disruptions. The waivers would temporarily permit foreign-flagged vessels to transport oil, gasoline, diesel, and LNG between US ports, increasing shipping capacity and reducing costs during potential shortages.
The Jones Act, enacted in 1920, restricts domestic cargo transport to US-built, owned, and crewed ships, limiting flexibility during supply crises. Previous waivers have been issued during hurricanes and other disruptions to prevent regional fuel shortages and price spikes.
Oil prices have grown more volatile amid fears of Iran-related supply chain disruptions, particularly in the Strait of Hormuz. Extending waivers could help stabilize domestic fuel distribution and curb price increases if global shipments are interrupted.