Bipartisan legislation sponsored on March 28 by U.S. Rep. Dusty Johnson (R-SD) would implement federal ocean shipping reforms designed to thwart attempts by the Chinese Communist Party (CCP) to influence America’s supply chain.
“Fair trade practices benefit all parts of the supply chain from producer to manufacturer, shipper to consumer,” said Rep. Johnson, who introduced the Ocean Shipping Reform Implementation Act of 2023, H.R. 1836, with original cosponsor, U.S. Rep. John Garamendi (D-CA).
The bill would build on the progress of Rep. Johnson’s Ocean Shipping Reform Act, which President Joe Biden signed into law in June 2022.
“We’ve seen the positive results of the Ocean Shipping Reform Act, but there is more to be done to stay tough on China,” Rep. Johnson said. “The Ocean Shipping Reform Implementation Act gives the FMC the authority to protect U.S. ports, shippers, and manufacturers from the CCP’s influence.”
If enacted, H.R. 1836 would prohibit U.S. ports from using Chinese state-sponsored LOGINK software and similar state-sponsored malware; allow the Federal Maritime Commission (FMC) to investigate foreign shipping exchanges like the Shanghai Shipping Exchange to preempt improper business practices; and authorize the FMC to streamline data standards for maritime freight logistics, according to a bill summary provided by Rep. Johnson’s staff.
Additionally, the legislation would direct the U.S. Department of Transportation to contract an independent auditor to examine the influence of the People’s Republic of China on the business practices of the Shanghai Shipping Exchange and report to Congress, the summary says.
Among other provisions, H.R. 1836 would authorize the Bureau of Transportation Statistics to collect more information on port operations, such as the total of incoming and outgoing containers and yard capacity, and clarify that the FMC also may stipulate additional minimum requirements for service contracts by ocean common carriers, at the agency’s discretion, states the summary.
“Last June, Congress passed our landmark reform to the nation’s ocean shipping laws for the first time in nearly a quarter century to protect American businesses and consumers from price gouging by foreign-flagged ocean liners,” said Rep. Garamendi. “After years of endless happy talk in Washington, we are finally making free trade fair trade and stopping Chinese state-controlled companies from ripping off our country and gutting our manufacturing jobs. Our implementation bill introduced today will finish the job.”
The Agriculture Transportation Coalition, the National Milk Producers Federation, the U.S. Dairy Export Council, the National Customs Brokers and Forwarders Association of America, the Coalition for Reimagined Mobility, the Consumer Brands Association, and the National Industrial Transportation League endorsed the bill.