The Jones Act is a 1920s law that prohibits foreign ships from transporting goods and services in American waters. Dozens of studies have shown conclusively that it adds to shipping costs and makes supply chain problems worse – especially for those living on islands like Hawaii and Puerto Rico.
The Biden administration relented last week and signed a waiver allowing a SINGLE non-U.S. flagged ship to transport fuel to Puerto Rico, which faces a severe diesel shortage after Hurricane Fiona.
As our pal Kevin Hassett, who was chair of the Council of Economic Advisors under Trump, notes: “The recent Biden executive order to block Russian oil imports means that now Hawaiians will disproportionately bear the cost of efforts to deprive Russia of export revenue.”
The U.S. Virgin Islands has a permanent Jones Act waiver, Puerto Rico just got a temporary one. It’s time to allow Americans in energy-dependent places like Hawaii and New England to get a waiver from this economic insanity.
Even Larry Summers gets this one right: