The third Jones Act waiver issued since March took effect today, introducing a narrower list of eligible energy cargoes and a voyage-by-voyage review process for foreign-flag vessels used in coastwise trade.
The 90-day waiver runs through Nov. 15. Unlike the two earlier waivers, the latest action does not provide a broad exemption for all listed cargoes, according to Jason P. Waguespack, managing director at Galloway Johnson Tompkins Burr & Smith, New Orleans.
“The most significant difference is that this latest waiver is considerably narrower than its predecessors,” Waguespack told WorkBoat. “Rather than continuing the broader approach taken under the earlier waivers, the newest extension is directed even more specifically at energy-related products.”
The administration issued the initial waiver in March and extended it for 90 days in May without substantive changes. The August waiver changes both the requirements for obtaining approval and the range of cargoes potentially eligible for coastwise transportation aboard foreign-flag vessels.
“The changing needs of the U.S. energy sector, coupled with the current administration’s continued focus on safeguarding American business, appear to be the primary drivers behind the change in the waiver’s substance and scope,” Waguespack said. “Limiting the types of cargo potentially eligible for the waiver points to a more targeted effort to provide relief to specific segments of the U.S. energy sector.”
U.S. Customs and Border Protection outlined the requirements in Cargo Systems Messaging Service notice CSMS #69519766. The accompanying list identifies 238 potentially covered products, down from 660 under the March waiver.
The August list focuses primarily on products connected to petroleum, LNG, natural gas and other fossil fuels. Coal, lubricants and grease have been removed, along with many broadly described products, including certain chemical mixtures.
“The August list is also considerably more specific than its March counterpart,” Waguespack said. “For example, it relies less on general descriptions, such as ‘mixtures of’ or products that merely ‘contain’ certain chemicals.”
The narrower list appears intended to assist parts of the U.S. energy sector while retaining Jones Act protections for other coastwise cargoes.
“This narrowing of eligible cargoes appears to reflect the administration’s effort to provide more targeted assistance to key economic sectors of the U.S. energy infrastructure while maintaining the Jones Act’s protections for sectors not directly related to the energy relief the waivers are intended to provide,” Waguespack said.
Under the latest framework, the Maritime Administration (Marad) will consider waiver requests individually rather than treating listed cargoes as automatically exempt.
“One important change for operators is that the latest waiver does not provide a broad exemption,” Waguespack said. “Instead, Marad will review requests on a voyage-by-voyage basis. That means operators will need to consider whether a particular cargo and voyage qualify rather than assuming they are covered by the waiver.”
Before beginning a voyage aboard a foreign-flag vessel, the requesting party must submit written information to the Department of War, CBP and Marad. The request must identify the vessel and its specifications, proposed voyage and dates, loading and unloading locations, anticipated shipment frequency and cargo specifications.
Federal agencies will then circulate the transportation request among coastwise-qualified operators to determine whether a Jones Act-compliant vessel is available.
“Operators should therefore confirm that this prerequisite has been satisfied before undertaking a voyage they expect to be covered by the August 2026 waiver,” Waguespack said. “They should obtain the applicable pre-waiver communications and request submitted by the related business rather than simply assuming the voyage qualifies.”
The guidance indicates that administrative approval will be issued in response to each request rather than applied automatically across multiple voyages.
A separate pre-voyage notification must also be submitted to CBP. It must include the vessel’s name, International Maritime Organization number and flag; a description of the cargo and its Harmonized Tariff Schedule number; the carrier’s name; departure and arrival ports, dates and CBP port codes; and a PDF copy of CBP Form 1302.
Within 10 days after completing the voyage, the operator must submit a report to Marad identifying the vessel, flag and ownership and providing information about the voyage and cargo. The report must also explain why use of the waiver “was in the interest of national defense.”
Marad’s review is expected to focus on whether the cargo appears on the list of potentially covered products and whether the voyage meets that national defense standard.
“The August guidance does not define ‘in the interest of national defense,’ making it important for an operator’s submission to provide sufficient detail about the nature of the transaction and how the voyage serves U.S. national defense interests,” Waguespack said. “General, ambiguous or vague explanations are more likely to draw increased scrutiny from Marad.”
The reduced product list could give Marad a more active role in deciding whether individual shipments fall within the waiver’s scope.
“Given the condensed list of covered products, Marad is likely to play a more active role in determining whether cargo shipped on a proposed voyage falls within the scope of the current waiver,” Waguespack said.
Operators should not assume requests will be approved automatically, he added.
“Given Marad’s role in protecting the U.S. maritime industry, operators should expect requests to receive careful scrutiny rather than assume approval will be automatic,” Waguespack said.
The waiver expires Nov. 15. To qualify, an approved cargo must be loaded aboard the designated vessel before 11:59 p.m. Eastern time that day.
“The list identifies 238 products, along with their associated Harmonized Tariff Schedule Number, that are potentially eligible under the August 2026 Jones Act waiver,” Waguespack said.
It remains unclear whether federal agencies will issue additional instructions. Guidance from the Department of War, CBP and Marad has so far been distributed through CBP’s online and email bulletin system.
“In the meantime, operators should continue to monitor communications from CBP and Marad closely, particularly for any additional information about how individual voyages will be evaluated under the new framework,” Waguespack said.
