Trump Administration Extends Jones Act Waiver 90 Days Amid Iran Tensions

Key Details The White House has extended a Jones Act shipping waiver for another 90 days, allowing foreign-flagged vessels to transport oil, fuel, and fertilizer between U.S. ports through mid-August. The extension applies to approximately 659 products including crude oil, refined petroleum, natural gas, and fertilizer that would normally require U.S.-flagged ships under the 1920 Jones Act. Why It Matters The Strait of Hormuz closure during the Iran conflict has removed roughly 13 million barrels of crude oil and refined products from global markets daily. This supply disruption has driven up energy prices and created urgent demand for alternative shipping routes. The extended waiver provides stability for refiners, allowing them to book waterborne crude shipments for July and beyond. Industry Impact The early extension announcement, made three weeks before the May 17 expiration, gives maritime operators adequate time to secure vessels and coordinate logistics. Ships have already used the waiver to transport renewable diesel, ammonia, ethanol, and gasoline to ports in California, Florida, Pennsylvania, and South Carolina. White House officials emphasize the extension maintains supply chain certainty during volatile market conditions.