White House Considers Waiving Maritime Law

The White House is considering waiving the Jones Act, a 1920 law requiring U.S.-built, owned, and registered vessels for domestic maritime commerce, as of March 12, 2026, in response to surging fuel prices driven by the ongoing U.S.-Israel war with Iran. This potential action aims to ensure the free flow of vital energy and agricultural products to U.S. ports, addressing the largest global oil market supply disruption in history, according to the International Energy Agency.

The conflict has caused crude oil prices to exceed $100 per barrel, with Iran reportedly restricting traffic in the Strait of Hormuz. The administration's consideration of a waiver follows its release of 172 million barrels from the Strategic Petroleum Reserve on March 11, 2026, as part of a coordinated international effort. While a temporary waiver could offer a small, useful impact on prices, it may face opposition from American shipbuilding and shipping interests.

Previous administrations have temporarily suspended the Jones Act during extreme supply disruptions, such as hurricanes. The current administration views the price surge as a short-term disruption for long-term gains, anticipating it can manage political pressure for up to a month.