Jones Act: Myth vs. Fact

There is a lot of misinformation surrounding the Jones Act, formally known as the Merchant Marine Act of 1920. Below are some of the most common myths — and the facts that set the record straight.

Myth: The Jones Act makes everyday goods more expensive.

Fact: There is little evidence that the Jones Act meaningfully increases prices for consumers. Domestic water transportation is the most efficient and cost-effective ways to move large quantities of freight, especially energy, agricultural products, and raw materials.

Consumer prices are influenced by many factors — fuel costs, global supply chains, labor, and retail markups. Shipping is typically only a small fraction of the final price of most goods.

Myth: The Jones Act hurts states and territories that rely on maritime shipping.

Fact: States and territories served by ocean shipping benefit from reliable, safe, and consistent domestic transportation provided by U.S.-flagged vessels.

These vessels follow strict U.S. safety and environmental standards, employ American mariners, and maintain regular service routes that communities depend on. Removing the Jones Act would create uncertainty by shifting domestic shipping to foreign operators whose priorities may change based on global market conditions or geopolitical conflicts.

Myth: The Jones Act prevents the U.S. from getting help during emergencies.

Fact: In practice, American vessels and mariners are often among the first to respond during disasters, delivering fuel, relief supplies, and critical cargo to affected areas.

Myth: Foreign ships could benefit U.S. maritime commerce if the Jones Act were repealed.

Fact: Repealing the Jones Act would not simply increase shipping capacity — it would shift domestic shipping to foreign-owned vessels and foreign crews, many of which operate under lower labor and safety standards.

Over time, this would weaken America’s maritime workforce and reduce the country’s ability to maintain its own shipping capability.

Myth: The Jones Act is outdated.

Fact: The core principle behind the Jones Act — ensuring a nation can move goods within its own borders using its own vessels and workforce — is still widely practiced around the world.

Many countries maintain similar “cabotage” laws that defend their own domestic shipping and maritime industries from foreign encroachment. The United States is far from unique in safeguarding its domestic maritime capability.