Trump administration set to suspend Jones Act to curb oil prices

The Trump administration plans to issue temporary waivers for a century-old maritime law requiring American-built ships be used to transport goods between US ports as part of its effort to stop surging oil prices, according to people familiar with the matter. 

  The 30-day waivers for the Jones Act would allow foreign tankers to help supply refiners on the East Coast with fuel from the Gulf Coast and elsewhere in the US, according to the people, who were not authorized to discuss the matter publicly.

 

It comes as President Donald Trump considers multiple options to stem the dramatic rise in crude and gasoline amid the war in Iran. On Wednesday, the administration announced it would release 172 million barrels from the Strategic Petroleum Reserve as part of a coordinated effort with other nations to unleash 400 million barrels into the world market. 

 

 

The US last issued a waiver for the Jones Act in October 2022 for a tanker heading to Puerto Rico to deliver supplies follow Hurricane Fiona.

 

The Biden administration temporarily eased the law in 2021 for refiner Valero Energy Corp. following a cyberattack on a major East Coast fuel pipeline in 2021.