The Jones Act Waiver has Turned Into a Boon for California at Our Nation’s Expense

The Jones Act is the fundamental, America First maritime law. It requires that all goods transported by water be carried by American-built, American-owned, American-flagged, and American-crewed. Essentially, the Jones Act protects American waterways and American jobs from foreign influence. Without it, foreign countries would have open access to take over our economy and waterways, posing significant security and economic threats.

On March 17, the Trump Administration waived the Jones Act, allowing foreign vessels to transport our goods. The waiver was originally set to expire after 60 days, or May 17. Unfortunately, the Department of Homeland Security (DHS) extended the waiver by another 90 days, leaving our waters open to foreign influence through the summer.

The White House has repeatedly said that the waiver is supposed to help bring down gas prices, but gas prices continue to skyrocket. Gas and diesel prices remain near record highs, having increased more than 50 percentsince the start of the war. Experts have repeatedly found that, at best, the waiver will save pennies off the gallon. While every cent counts, it is hard to justify throwing away a foremost America First policy for a pennies on the gallon.

All this begs the question: If our gas prices are not going down, and foreign companies are taking over our water, who is benefiting from the waiver? The answer is California. In short, the Jones Act waiver is a bailout for the energy crisis that Gavin Newsom and California created.

California’s economy is unique from most of the U.S. because the state is heavily dependent on foreign oil imports. Even before the war, 75 percent of California’s crude oil came from foreign countries. As Trump’s Department of Energy put it: California is at war with American energy, which is dangerous for national security and expensive for residents. But now, under the waiver, the Administration is rewarding California for prioritizing foreign oil over American-made oil. It does not make any sense.

Essentially, California put itself in a dangerous position by relying heavily on expensive foreign oil rather than prioritizing American-made oil. Now, rather than being punished for this decision or having to switch to American oil, the waiver is helping out California by giving it a carveout. Bad for America’s national security, but good for California because of its decades of bad policy.

To see how California-focused this waiver has been, look no further than the Maritime Administration’s (MARAD) waiver report, which lists all foreign-flag vessels moving American goods under waiver. According to MARAD, vessel movements to and from California make up nearly half of all movements under the waiver. Further, nearly a quarter of the movements are between ports within California. In other words, a substantial percentage of these vessels are never even leaving California.

Simply put, Governor Gavin Newsom and California Democrats have created a disastrous energy situation in the state, relying on foreign crude oil. In response, the Trump Administration has, albeit unintentionally, bailed them out by allowing California to use foreign ships and foreign employees to move energy products. The rest of the country suffers high gas prices while California reaps the benefits.

On April 22, the White House pointed to oil deliveries in California as successes of the waiver. Other White House reports around the waiver extension at the end of April repeatedly referenced California as the leading data point for waiver usage. Why is the White House so interested in helping California’s oil crisis?

While California reaps the benefits, the rest of the country suffers under the Jones Act waiver. The waiver has not tampered with oil prices and will have devastating effects on our workforce and national security. Hundreds of thousands of domestic jobs rely on the Jones Act, transporting American goods on American ships, made by the American people.

Places like the Gulf Coast, including Texas and Florida, have voted for and supported President Trump in all three elections. Yet, it’s those areas that are hurt most by the waiver. American jobs in the Gulf are being given to foreigners. Our goods are being transported on foreign ships, at the expense of American-built companies. The waiver has given China and other foreign countries unprecedented access to American waters, goods, and critical supply chains like oil. This waiver is devastating for the American domestic maritime economy, but it could be catastrophic for our national security.

President Trump has been unequivocally America First, but the Jones Act waiver is the exact opposite – it is harmful to the American people and a huge handout to California Democrats. The question remains: Why is the Administration going out of its way to help California and opening our waterways to foreigners in the process?