CBP withdraws maritime proposal

On May 10, the U.S. Customs and Border Protection withdrew an Obama-era proposal to modify law governing shipping, which would have revoked waivers to make it easier for oil and gas operators to skirt restrictions. For about 40 years, CBP provided exemptions to the Jones Act, which mandated the use of U.S.-flagged vessels to transport merchandise between America’s three coasts. The exemptions have allowed oil and gas operators to use often cheaper, tax-free, or foreign flagged vessels. CBP had considered revoking the waivers after President Barack Obama's administration proposed to cut them out just two days before President Trump took office. The oil industry expressed relief about the CBP announcement. O&G majors operating in the Gulf of Mexico had lobbied hard to urge CBP not to remove the waivers. (Source: Marine Link 05/10/17)