U.S. Sens. John Hoeven (R-ND) and John Thune (R-SD) applauded U.S. Senate passage of their bipartisan Ocean Shipping Reform Act of 2022, which would update federal regulations for the global shipping industry and help American producers export their products internationally.
Sens. Hoeven and Thune are among 13 original cosponsors of S. 3580, which was sponsored on Feb. 3 by U.S. Sen. Amy Klobuchar (D-MN) to also strengthen the investigatory authority of the Federal Maritime Commission (FMC), which oversees ocean shipping, and improve the transparency of industry practices, according to a bill summary provided by the lawmakers.
“I’m glad the Senate unanimously passed this important legislation that would level the playing field for American farmers, exporters and consumers by making it harder for ocean carriers to unreasonably refuse goods that are ready to export at U.S. ports,” Sen. Thune said. “Especially with record inflation in prices of goods, this legislation would also benefit consumers by promoting the fluidity and efficiency of the supply chain.”
S. 3580 is the companion bill to the Ocean Shipping Reform Act of 2021, H.R. 4996, introduced in August 2021 by U.S. Reps. Dusty Johnson (R-SD) and John Garamendi (D-CA). The U.S. House of Representatives on Dec. 8, 2021 voted 364-60 to approve H.R. 4996, which then advanced to the Senate. Now that the Senate has amended and passed the bill, it heads back to the House for final action.
The legislation would help address supply chain challenges by prohibiting ocean carriers from unreasonably declining shipping opportunities for U.S. exports, making it harder for ocean carriers to arbitrarily turn away goods at ports that are ready to be shipped abroad, according to a bill summary provided by the lawmakers.
Additionally, the bill would give the FMC greater authority to regulate harmful practices by carriers, the summary says.
“North Dakota has a positive balance of trade thanks to the hard work of our farmers, ranchers, energy producers, manufacturers and other exporters, benefitting both the state and national economies,” said Sen. Hoeven. “Their continued success relies on fair and reliable market access.”
Sen. Hoeven said that the legislation specifically “would hold foreign ocean carriers accountable, prohibiting them from unreasonably declining opportunities for U.S. exports, and would empower the FMC to ensure our domestic shippers have access to a fair, reasonable and effective marketplace.”