U.S. shipbuilders and the better maritime trade are combating again towards an modification supplied to a draft Puerto Rico debt aid invoice presently advancing within the House looking for to exempt the Commonwealth from the Jones Act.

The modification was supplied by Alabama Congressman Gary Palmer (R-AL) to the proposed H.R. 5278, the Puerto Rico Oversight, Management, and Economic Stability Act (PROMESA), which seeks to create a authorized framework for the federal authorities to supervise the fiscal and budgetary affairs of sure U.S. territories, and Puerto Rico specifically.

In a press launch, Congressman Palmer argues that exempting U.S. territories from the Jones Act has confirmed to be a secure and profitable approach of enhancing a territory’s financial atmosphere, offering the baseless instance that the prices of delivery items to U.S. Virgin Islands, which is exempt from the Jones Act, from the U.S. mainland are actually almost half that of delivery to Puerto Rico.

“Relief from the Jones Act would allow the cost of living in Puerto Rico to decline, allowing residents to stretch their wages further than before,” mentioned Congressman Palmer Palmer. “If Congress wants to help Puerto Rico we must provide them with opportunities to better their economy and lower their cost of living, not bail them out without any forward thinking solutions.”

Sponsorship of the modification by Rep. Palmer is stunning provided that Jones Act delivery and shipbuilding is a significant trade in Alabama.

Fighting again towards Palmer’s claims, Matthew Paxton, President of the Shipbuilders Council of America (SCA), launched a press release slamming the political nature of the modification to spite U.S. jobs.

“Given that the Jones Act and U.S. shipyard industry support more than 12,800 jobs and contributes over $953 million in GDP to the U.S. economy from Alabama alone, we are disappointed that Rep. Palmer seems to be more focused on political maneuvering than on protecting our nation’s domestic and economic security. Exempting Puerto Rico from the Jones Act would do nothing to address island’s debt crisis and would actually jeopardize the more than $1 billion the U.S. maritime industry has invested in the Puerto Rican shipping trade, as well as the thousands of good-paying jobs on the island,” Paxton mentioned.

For months, delivery trade stakeholders have been protecting an in depth watch on Jones Act opponents who’ve been actively working to tie the debt disaster in Puerto Rico to the maritime trade, however supporters of the Jones Act see issues in a different way.

Speaking on the annual Tradewinds Jones Act Shipping Forum final September, Tom Allegretti, Chairman of the American Maritime Partnership (AMP), defined:

“Some in Puerto Rico have suggested that a Jones Act exemption be included in the legislative package under the erroneous theory that the Jones Act is bad for Puerto Rico. But here’s the kicker: If Congress did that – include an anti-Jones Act amendment in the package – the chances of the overall package getting enacted into law would diminish. That’s because the presence of an anti-Jones Act amendment would reduce or subtract the number of Members of Congress who would vote for the overall bill. So Puerto Ricans would be undermining – and maybe even sabotaging – their own assistance package by including an anti-Jones Act amendment in it.”

Speaking to Palmer’s modification to H.R. 5278, Allegretti burdened that the Jones Act isn’t the trigger for the island’s monetary woes, and that any vote towards the Jones Act is a vote to outsource American jobs, undermine nationwide safety, and degrade homeland safety.

“Weakening the Jones Act would harm, not help, the Puerto Rican people and the Commonwealth’s economy. In fact, a vote against the Jones Act is a vote to outsource American jobs, undermine national security, and degrade homeland security,” Allegretti mentioned within the assertion.

Echoing these sentiments, Edward Wytkind, president of the Transportation Trades Department, AFL-CIO (TTD), launched his personal assertion:

“The Jones Act has served as an indispensable role in promoting American economic and national security since 1920. Exempting Puerto Rico from the Jones Act not only threatens our military sealift capabilities and thousands of domestic seafaring and shipbuilding jobs, but potentially further damages Puerto Rico’s already fragile economy. This amendment could increase shipping rates for Puerto Rico, erode an important, dedicated Northbound route for exports and undermine ‘just in time’ delivery methods for goods traveling in both directions.”

Rep. Duncan Hunter, Chairman of the House Coast Guard and Maritime Transportation Subcommittee, additionally not too long ago burdened the significance of the Jones Act within the Washington Times, saying:

“It’s imperative not to conflate the unrelated issues of Puerto Rico’s debt and the Jones Act, and to fully grasp the importance of ensuring the safe transport of goods between American ports. There must also be acknowledgment of the dire consequences of exposing ports and waterways to foreign seafarers.”

H.R. 5278 is prone to be debated by the U.S. House of Representatives starting Thursday. Meanwhile the House Rules Committee is predicted to determine on Wednesday which amendments, if any, could be connected and up for debate by the complete home.