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Well, tell that to the thousands of small businesses in Hawaii, PR etc. that can't export, and therefore can't compete because sea shipping prices are too high.
by javiramos 9y ago
Well, tell that to the thousands of small businesses in Hawaii, PR etc. that can't export, and therefore can't compete because sea shipping prices are too high.
A vivid example is Hawaii. Hawaii produces excellent cattle and livestock - plenty of sun and great weather. It is cheaper to fly cattle to the U.S. than it is to transport it in a Jones Act trade ship. There is a weekly Boeing 747 from HNL to LAX to transport cows to the mainland U.S. market. Imagine how much more competitive the Hawaiian livestock industry could be if sea shipping rates were competitive.
As Americans, it is our choice if we want to stimulate and connect our territories to our vast mainland market or if we want to protect special interests, lobbying, and corruption that supports the Jones Act trade.
- jordanb 9y agoAs I said above shipping is always high to islands. You can say the same thing (small business hurt by shipping) in Bermuda or Tahiti or Antigua, in all these cases the cost of shipping has nothing to do with the Jones Act. If Jones Act shippers were fleecing PR, then it would be very profitable for foreign shippers to set up a route from Florida to PR via the Bahamas. This would be 100% legal under the Jones Act and the fact that they haven't demonstrates that it isn't very profitable to try to undercut the current shippers. The same for Hawaii, all foreign ships have to do is stop in Ensenada and then they can go to San Diego or Longbeach and it'd be 100% legal under the Jones Act. Foreign-flagged cruise ships are already doing exactly this. Also live animals nearly always travel long distances by air. Putting them on a boat for a long sea voyage means you have to make provisions to feed and care for them, which eliminates any potential cost savings.