Former US President Donald Trump has suspended the Jones Act for 60 days, permitting foreign-flagged vessels to transport cargo between US ports during the temporary waiver, Al Jazeera reports.
What Happened
The waiver, announced by Trump, removes the domestic-only restriction on coastal shipping for a 60-day period. Under the temporary measure, ships registered under foreign flags will be allowed to carry goods between U.S. ports — an activity normally limited to U.S.-built, -owned and -crewed vessels under the Jones Act.
What is the Jones Act
The Jones Act is a longstanding U.S. maritime law that generally requires goods transported between U.S. ports to be carried on vessels that are U.S.-built, U.S.-owned and U.S.-crewed. The law aims to support the U.S. maritime industry and national security by protecting domestic shipping capacity.
Why the Suspension Matters
By temporarily waiving the Jones Act, foreign-flagged ships can be used to move cargo coastwise for the next 60 days. Al Jazeera framed the move in the context of the ongoing conflict related to Iran, and the waiver is being reported as a response to disruptions and risks affecting maritime trade routes. The suspension is limited in time and scope and is typically used in exceptional circumstances to address urgent shipping or supply-chain needs.
What This Means for Panama and the Region
The waiver could create opportunities for vessels registered under foreign flags — including those registered in Panama, which operates one of the world’s largest ship registries — to operate between U.S. ports during the 60-day period. For Latin American shippers and ports, the temporary change may affect freight routing and availability of vessels, though the longer-term impact will depend on whether the waiver is extended or accompanied by other policy moves.
Outlook
The suspension is short-term and intended to address immediate shipping pressures. How widely foreign-flagged vessels are used during the 60 days, and whether the measure changes supply chains or costs for businesses, will be watched closely by carriers, port authorities and governments in the region.