Trump Considers Third Jones Act Waiver Extension to Curb Oil Prices

Donald Trump is considering a third extension of waivers for the Jones Act to allow foreign-flagged vessels to transport goods between U.S. ports. The administration aims to mitigate supply disruptions and energy price increases caused by renewed conflict between the United States and Iran, which has driven domestic crude oil prices to approximately $80 a barrel.

To further stabilize oil prices, the government has loaned oil from the Strategic Petroleum Reserve, which has dropped to its lowest level since 1983. The administration is currently weighing the implementation of geographic restrictions on the waivers to address criticisms from Republican allies and maritime industry groups. These critics argue that bypassing the Jones Act weakens domestic shipbuilding and national security.

House Speaker Mike Johnson has urged the administration to end the waivers entirely. The White House has held meetings with the Department of Transportation, the Department of the Interior, and the Department of Energy to evaluate these options. A final decision is expected before the end of July, prior to the current waiver expiration date on August 16.