AWO Letter - July 10, 2026
Washington Post Publishes AWO President’s Letter to the Editor. The Washington Post published two Letters to the Editor -- one by Sam Norton, CEO of Overseas Shipholding Group; the other by AWO President & CEO Jennifer Carpenter -- written in response to a recent anti-Jones Act opEd authored by Colin Grabow of the CATO Institute, a perennial Jones Act opponent.
While Grabow argued that the waiver has improved the domestic flow of American energy, Jennifer pointed out that in the last 100 days, ships using the waiver moved about 32 million barrels of petroleum, or roughly 1.5 percent of U.S. petroleum consumption during that same period; and that about 18% of waiver voyages were performed by vessels linked to Chinese entities while U.S.-built, owned and crewed vessels remained available to do that work.
Jennifer wrote: “If Congress wants to address refinery closures, fuel markets or regional supply challenges that have hurt America’s energy dominance, it should do so directly. But the Jones Act waiver has shown that the maritime industry is not a driver of gas prices. All it has demonstrated is that without the Jones Act, vessels built in China, crewed by underpaid mariners, flying flags of small countries to dodge taxes and regulations, can and will undermine investment and growth in an all-American industry.”
Centerline Letter to the Editor on Jones Act Waiver Published. The Seattle Times recently published a Letter to the Editor authored by Sarah Freyer of Centerline Logistics Corporation supporting the Times’s recent editorial calling for ending the current Jones Act waiver. The letter notes that the national scope of the waiver has handed business to foreign-flag vessels in U.S. markets where there is no shortage of U.S. vessel capacity, and that evidence shows the waiver is inflicting real harm on everyday Americans and undermining investment in U.S. maritime.
New Study Reveals Failures, Harmful Impacts of Jones Act Waiver. Navigistics Consulting recently released its 2026 Jones Act Waiver After Action Report analyzing the initial period of the waiver. Five key findings of the report include:
- There is no military necessity for a waiver. U.S. Maritime Administration data documents that only commercial-grade fuels have been moved; no voyages under the waiver moved fuels meeting Department of War fuel specifications.
- Jones Act-qualified vessels were available and ready. American vessels were available for 86.5% of the voyages completed by foreign vessels under the waiver.
- The waiver is benefiting China to the detriment of American maritime dominance. 23.1% of the foreign vessels operating in the U.S. under the waiver were built in China and 18.5% were under Chinese control.
- The waiver has no impact on gasoline prices. Over an 11-week period, there is no evidence the waiver reduced gasoline prices for consumers. In fact, only 6.5% of U.S. gasoline is transported by vessel and on several routes Jones Act-compliant vessels were cheaper to contract than foreign vessels.
- Fuel exports increased. One claimed justification for the waiver was the need to address domestic fuel shortages, yet 731 million barrels of petroleum were exported out of the U.S. with crude oil, diesel, and jet fuel exports all increasing over prior years.
AWO President Highlights Role of Jones Act in Workforce Development. In a recent interview with Marine Log magazine, Jennifer Carpenter discussed the central role of the Jones Act in sustaining the U.S. maritime workforce and the impact of Jones Act waivers on the long-term strength and viability of American maritime as this year’s recent graduates from the nation’s seven U.S. maritime academies enter the industry.
As Jennifer observed: “The Jones Act is the reason we have a domestic maritime industry. The Jones Act reserves the U.S. domestic maritime market for American mariners, just like aviation cabotage laws reserve domestic aviation routes for American flight crews. Knowing that this American market exists, no matter what’s going on internationally, is what gives young people a reason to enroll at a maritime academy in the first place. Cadets spend years training, earning licenses, and accumulating sea time because they know there are American vessels that need American crews to operate them. Remove or chip away at that demand signal, and you remove the incentive for the next generation to choose this career path at all.”
Read the full interview here.
Report Inspection Issues Through AWO's Vessel Inspection Feedback Tracker. AWO recently launched a new Vessel Inspection Feedback Tracker to capture member experiences with Coast Guard inspection scheduling difficulties, delays, and inconsistent practices across units. The information collected allows AWO to identify trends, quantify operational and economic impacts, and engage Coast Guard leadership with clear, data-driven examples -- and the Coast Guard has expressed strong interest in what members are experiencing. AWO plans to share an update on the data collected to date at our August Safety Quality Partnership meeting with the Coast Guard. In the interim, AWO’s regional team is working to address individual reports with the appropriate Coast Guard units.
The Tracker is available through the AWO Member Portal and the AWO App. To coordinate company submissions or facilitate entries by employees without Portal credentials, please contact Liam Morcroft.
AWO Completes Baseline Cybersecurity Assessment for Towing Vessels and Barges. AWO has completed its industry-wide baseline cybersecurity assessment for MTSA-regulated towing vessels and barges operating under the AWO Alternative Security Program (ASP). Developed by AWO's Cybersecurity Assessment Working Group, the assessment is aligned with 33 CFR Part 101 Subpart F, CG-5PC Policy Letter 01-26, NIST CSF 2.0, and the USCG MCAAG.
With the baseline assessment complete, AWO’s Cybersecurity Assessment Working Group will now move to developing cybersecurity annex provisions for the AWO ASP and pursue waivers where appropriate based on the assessment’s findings. Our Cybersecurity training working group is also working on a template attestation for members to use when verifying contractor training. Members interested in joining AWO’s Cybersecurity Working Groups or learning more can contact Liam Morcroft.
AWO Comments on Atlantic Coast Fairways. AWO submitted a pair of comment letters to the Coast Guard regarding the Notice of Proposed Rulemaking (NPRM) and Programmatic Environmental Impact Statement (PEIS) for the Atlantic Coast Shipping Safety Fairways. The NPRM and PEIS recommend a series of shipping safety fairways that would establish maritime transportation routes along the Atlantic Coast that would be free of any permanent obstructions as offshore wind and other new maritime uses compete for space with traditional navigation routes. AWO has long advocated for a robust network of safety fairways, and in these comment letters, we call for the establishment of the fairways while highlighting areas that do not have adequate width or depth to facilitate safe navigation.
AWO Hosts Roundtable and Sector Luncheon in Jacksonville. AWO hosted the first Regional Roundtable of the summer in Jacksonville, FL on June 24 at Crowley Corporation’s headquarters. Local members gathered to discuss issues impacting the tugboat, towboat and barge industry in Florida. Discussion topics included recent stowaway incidents involving vessels trading between Jacksonville and San Juan, state-based advocacy work from the Florida Maritime Partnership, and a brief update from AWO Vice President - Legislative Affairs Craig Montesano on AWO’s Jones Act advocacy work. Members were later joined by U.S. Coast Guard Sector Jacksonville to discuss recent in-service inspections that the Sector has been doing in response to an uptick in marine casualties and recent safety challenges involving recreational boaters. For more information on the discussion, please contact Brian Vahey.
The AWO Regional Team is planning additional roundtables across the country, including in Los Angeles on July 13, San Francisco on July 15, New York on August 19, Paducah on August 20, Houston on August 27, and St. Louis on September 16. To learn more about these events, please contact your Regional Team member.
AWO Attends USCG Sector New Orleans Change of Command Ceremony. AWO was honored to attend the U.S. Coast Guard Sector New Orleans Change of Command Ceremony, where Captain Melanie Burnham officially assumed command, relieving Captain Gregory Callaghan. Jill Bessetti, Vice President – Southern Region, joined distinguished guests, Coast Guard leaders, and AWO members in recognizing this significant milestone.
AWO extends a warm welcome to Captain Burnham as she begins her new role leading Sector New Orleans and looks forward to continuing a strong partnership with the Coast Guard. AWO also congratulates Captain Callaghan on his retirement and thanks him for his outstanding service, leadership, and remarkable career. We wish him all the best in his next chapter.
AWO PAC and Inside Elections. AWO PAC has partnered with Inside Elections for another special edition, featuring updates on governors’ races across the country including rating changes in more than half-dozen states, as well as the latest primary results and analysis in Senate and House races.
AWO PAC is the connected political action committee for The American Waterways Operators and serves as the trade association's separate segregated fund. As a trade association, AWO is prohibited from using general treasury funds or membership dues to make federal contributions. AWO is one of the most effective advocacy associations in Washington, DC, and relies on voluntary personal contributions to fund AWO PAC.
AWO PAC supports federal candidates who are champions of the U.S. tugboat, towboat and barge industry and who are leaders on issues important to our industry. AWO PAC is dedicated to protecting AWO members' investments in the safest, most environmentally responsible and most economical mode of freight transportation and safeguarding the integrity of the Jones Act to protect the bottom lines of our members.
AWO PAC may solicit contributions from individuals of a member company once the member representative gives AWO written prior approval.
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