Trump extends Jones Act waiver for 90 days, narrows scope

The Jones Act requires cargo moving between U.S. ports to be carried on ships built in the U.S., owned by U.S. companies and crewed by American workers, and the waiver aims to lower gas prices by increasing shipping flexibility and reducing transport bottlenecks.

The waiver was set to expire on August 16 without the extension. It is the longest suspension of the more than century-old law in its history.

Targeted Jones Act waivers provide critical flexibility to move American energy efficiently between U.S. ports and deliver fuels to consumers at a time of ongoing global market volatility, industry trade group American Petroleum Institute said.

While the Jones Act waiver increases the availability of tankers to move fuel, it would likely only reduce gasoline prices by pennies per gallon, some analysts and industry experts have said.