Trump extends Jones Act waiver for 90 days, narrows scope

President Donald Trump extended a 90-day waiver on Monday, permitting foreign-flagged ships to transport oil and commodities between U.S. ports. This extension comes amid global disruptions to crude flows and rising fuel prices, with the goal of alleviating transportation bottlenecks and preventing further increases in gasoline and energy costs.

White House spokeswoman Taylor Rogers emphasized that the 90-day waiver ensures uninterrupted access to essential resources for the U.S. military and key industries. The White House also announced the narrowing of the waiver's scope, requiring individual voyages to undergo case-by-case review instead of granting blanket exemptions under the Jones Act.

The Jones Act mandates that cargo between U.S. ports must be carried on ships built in the U.S., owned by U.S. companies, and crewed by American workers. The administration's move effectively suspends the longest uninterrupted extension of the Jones Act waiver in its history, dating back over a century. Industry group The American Petroleum Institute highlighted that targeted waivers provide crucial flexibility for moving American energy efficiently between U.S. ports and delivering fuels to consumers during volatile global market conditions.

While the waiver could reduce gasoline prices by pennies per gallon, some experts suggest the impact will be minimal. Approximately 208 exemptions to the Jones Act were granted in roughly four-and-a-half months through August 3, according to U.S. government data.