The 1920 Jones Act shouldn’t even exist anymore.
The act only allows U.S.-flagged and built ships “to transport cargo between U.S. ports.”
The ships must also be “mostly owned and crewed by Americans.”
Not a shock that President Woodrow Wilson (I hate that guy) signed the Jones Act into law. He wanted to encourage U.S. shipbuilding after World War I.
Yeah, well, it hinders competition, leading to higher costs for goods and higher operational costs.
Fewer than 100 vessels comply with the Jones Act. //
broomhandle in reply to MarkS. | March 18, 2026 at 4:52 pm
The Jones Act is a classic example of cronyist protectionism: it imposes heavy government mandates on private commerce (U.S.-built, U.S.-crewed, U.S.-owned ships for domestic routes) in the name of “national security,” yet delivers concentrated benefits to a small, politically connected maritime lobby while dispersing higher costs across American consumers, businesses and energy users.
This violates principles of limited government, free enterprise, and fiscal responsibility. Instead of fostering genuine competitiveness through innovation and open markets, it creates an uncompetitive, high-cost industry shielded from foreign (and even domestic) competition, driving up shipping expenses that ripple into everyday prices for goods, fuel, and groceries.
The national security rationale is particularly weak: the U.S. merchant fleet has shrunk dramatically under the Act’s watch, not grown stronger, and modern logistics plus targeted subsidies or direct naval investments could secure sealift needs far more efficiently without burdening the broader economy. In short, it’s textbook rent-seeking that harms the many to prop up the few, contrary to the preference for market-driven strength over regulatory favoritism.
