Introduction of the Growing American Shipping Act

Floor Speech

Date: July 30, 2014
Location: Washington, DC

Mr. GARAMENDI. Mr. Speaker, I rise today to express my concern about the demise of the U.S. flag merchant marine and U.S. shipbuilding industry and to offer legislation to help revitalize these industries that are indispensable to the national security and economic interests of the United States.

Admiral Alfred Thayer Mahan, often recognized as the most important American strategist of the 19th Century, argued persuasively that our national greatness was inextricably associated with our control of the sea in order to secure both our commercial and security interests. That concept is as relevant today as it was in Mahan's time.

Our economic strength and national security today remain tethered to our ability to control the safety and security of the global supply chain. What has changed, however, is our vigilance in maintaining our commercial U.S. maritime industry.

That must change and fortunately I see a way forward. The U.S. shipbuilding industry and U.S. natural gas market are strategic industrial and natural resources essential to U.S. national security interests. In fact, the U.S. maritime industry has been interwoven into the fabric of our economy and national security since the founding of our Republic and the establishment of our Continental Navy in 1775.

Several factors explain why it is in the U.S. national interest to utilize the emerging coastwise and export trades for liquefied natural gas (LNG) to revitalize the U.S. flag.

First, this newly available and abundant energy source would provide reliable, long-term markets for U.S. commercial shipbuilding and new trades for U.S. flag vessel operators. Second, the imminent LNG export trade might also provide the impetus to attract new capital investment to expand the U.S. shipbuilding industrial base which has declined in capacity and international competitiveness over the past forty years. And third, the LNG export trade could be used productively to strengthen U.S. strategic interests and alliances with LNG trading partners, especially Japan, South Korea and India.

For these reasons, today I am introducing, along with my good friend, the Chairman of the Coast Guard and Maritime Transportation Subcommittee, Congressman Duncan Hunter, legislation to provide a clear signal to the administration, maritime industry, energy industry, and our foreign trading partners that we in Congress intend to get serious about revitalizing our shipbuilding and maritime industries.

The Growing American Shipping Act is straightforward legislation that would expand existing authority under section 306 of the Coast Guard and Maritime Transportation Act of 2006 and under the Deepwater Port Act (33 U.S.C. 1503(i)) to ensure that the trade in LNG--both the import and the export of LNG--benefits the U.S. maritime industry.

This legislation, if enacted, would enhance U.S. national security and port safety by encouraging the transport of LNG on U.S. flag vessels. It would help maintain the skilled labor pool and technological and industrial infrastructure of the U.S. shipbuilding industry necessary to build and repair both military and commercial vessels. Furthermore, this legislation would ensure that vessels carrying LNG to or from the U.S. are crewed by credentialed U.S. mariners to reduce safety and security risks.

This legislation has received robust support from a host of maritime stakeholders, including the Maritime Trades Department (AFL-CIO), Seafarers International Union (AFL-CIO), Transportation Institute, Shipbuilders Council, Navy League of the United States, American Maritime Officers, Marine Engineers' Beneficial Association (MEBA), International Association of Masters, Mates and Pilots (MM&P), Maritime Institute for Research and Industrial Development (MIRAID), Marine Firemen's Union, Metal Trades Department (AFL-CIO), Sailors' Union of the Pacific, and American Maritime Congress.

Again, this legislation builds on existing authority under the Coast Guard and Maritime Transportation Act of 2006 and the Deepwater Port Act which specifically authorized the Secretary of Transportation to develop a program to promote the use of U.S. flag vessels in the importation of LNG to the United States. This legislation simply would amend each statute to expand the scope of these authorities to apply also to the LNG export trade.

This legislation is a measured and reasonable step forward to revitalize our U.S. maritime industries, to support our economic and national security, and to begin the process of reclaiming our mantle as a great maritime nation. I urge members to join Chairman Hunter and myself in this effort.


Source
arrow_upward