The Trump administration has extended a temporary waiver of the century-old Jones Act for another 90 days, allowing foreign-flagged vessels to transport oil and other commodities between US ports. President Donald Trump approved the extension on November 13, 2026, as the government continues efforts to improve domestic fuel transportation and reduce pressure on energy prices.
The latest extension maintains a policy introduced in March 2026, when disruptions linked to the US war with Iran contributed to volatility in global oil markets. The waiver gives shipping companies additional flexibility to move petroleum products and other eligible goods along domestic routes. However, the administration has retained a case-by-case approval requirement introduced during the previous extension in August, rather than restoring the original blanket exemption.
Trump Extends Jones Act Waiver for Another 90 Days
A White House official confirmed the latest 90-day extension on Friday, November 13. The decision allows qualifying foreign-flagged vessels to continue transporting covered commodities between US ports under specific conditions.
The Jones Act, formally known as the Merchant Marine Act of 1920, generally requires goods transported between US ports to travel on vessels that are:
- Built in the United States.
- Owned by US companies.
- Operated under the US flag.
- Crew-operated by American workers.
The law is intended to support the domestic maritime industry and maintain a US merchant fleet that can contribute to national defence requirements.
The temporary waiver relaxes these restrictions for approved shipments, allowing foreign vessels to carry eligible cargo on domestic routes. This increases the number of ships potentially available to transport fuel and other commodities between regions.
The latest extension is particularly significant because the administration has described the current waiver period as the longest in the history of the shipping law.
Why the US Is Extending the Shipping Law Waiver
The administration initially introduced the broad waiver in March 2026, following the outbreak of the US war with Iran. Disruptions to international energy flows increased concerns about fuel availability, transportation costs and the movement of petroleum products.
The Jones Act can limit the number of vessels available for certain domestic shipping routes because qualifying ships must meet US construction, ownership and crewing requirements.
Allowing foreign-flagged ships to participate in approved domestic transportation can increase shipping flexibility and help address bottlenecks between US ports.
The administration has identified several commodities that could benefit from the additional flexibility, including:
- Crude oil and refined petroleum products.
- Gasoline and diesel.
- Jet fuel.
- Renewable fuels.
- Fertilizers and other eligible commodities.
The policy is intended to make it easier to move supplies between regions when domestic shipping capacity is constrained. For example, petroleum products can be transported between ports using vessels that would otherwise be excluded from domestic routes under the Jones Act.
However, the waiver does not eliminate all transportation constraints. Port capacity, vessel availability, refinery operations and the cost of shipping continue to influence how quickly commodities reach consumers.
Case-by-Case Approval Requirement Remains in Place
The latest extension retains a restriction introduced in August 2026. Under the revised arrangement, foreign vessels do not automatically receive permission to transport cargo between US ports.
Instead, individual voyages must undergo case-by-case review.
This means companies seeking to use the waiver must provide information about the proposed shipment and obtain the required authorisation. Authorities can assess whether qualifying US vessels are available and whether allowing a foreign vessel to carry the cargo meets the relevant national defence requirements.
The change followed objections from domestic shipbuilders and maritime industry representatives, who argued that broad exemptions could undermine US shipping companies and weaken the domestic maritime sector.
The case-by-case system is intended to preserve some flexibility for commodity transportation while maintaining oversight of foreign vessels operating on domestic routes.
It also means the latest extension should not be interpreted as an unrestricted opening of US domestic shipping to foreign operators.
90 Million Additional Barrels of Petroleum Moved Since March
The White House said the waiver has already helped increase the movement of petroleum between US ports.
According to figures released by the administration, an additional 90 million barrels of petroleum, mostly refined products, have been transported between domestic ports since the waiver was introduced in March.
The reported breakdown includes:
| Petroleum product | Additional volume transported |
|---|---|
| Gasoline | 27 million barrels |
| Crude oil | 26 million barrels |
| Renewable fuels | 6 million barrels |
| Other petroleum products | Approximately 31 million barrels |
| Total | 90 million barrels |
The figures illustrate the scale of additional petroleum transportation that the administration attributes to the waiver. Gasoline and crude oil account for a substantial portion of the reported volume, while renewable fuels also represent part of the increase.
The White House has used these figures to support its argument that the temporary policy has improved domestic supply movement.
However, the additional transportation volume does not establish how much the waiver has reduced fuel prices. Retail gasoline and diesel costs are influenced by several factors, including global crude prices, refining margins, taxes, distribution expenses and regional supply conditions.
Domestic Shipbuilders Raise Concerns Over the Jones Act Waiver
The extension also highlights the continuing disagreement between supporters of the Jones Act and organisations seeking greater flexibility in domestic shipping.
The US shipbuilding industry has historically supported the law because it protects demand for American-built vessels and helps maintain domestic maritime capabilities.
Shipbuilders and maritime industry representatives argue that relaxing the requirements for extended periods could weaken the domestic shipping sector. They also point to the law’s national security role, particularly its contribution to maintaining a merchant fleet and trained maritime workforce.
Supporters of the waiver, meanwhile, argue that temporary flexibility is necessary when domestic shipping capacity cannot move essential commodities efficiently.
The competing priorities create a policy challenge for the administration: reducing transportation bottlenecks and supporting energy supply while maintaining the long-term capabilities of the US maritime industry.
The decision to retain individual voyage reviews reflects an attempt to balance those concerns rather than suspend the law without restrictions.
What the Extension Means for Oil and Commodity Markets
The extension could provide additional flexibility to energy companies, shipping operators and commodity suppliers that need to move products between US ports.
For fuel markets, the availability of more vessels can help address regional transportation constraints. This may be particularly relevant when certain areas need additional supplies of gasoline, diesel or other refined products.
Fertilizer transportation is another important consideration. Fertilizer supply chains are closely connected to agricultural production costs, meaning shipping disruptions can affect industries beyond the energy sector.
Nevertheless, the waiver is primarily a domestic transportation measure. It does not directly increase crude oil production, expand refinery capacity or guarantee lower prices for consumers.
Its impact will depend on how frequently companies receive approvals, whether suitable vessels are available and whether the additional shipping capacity can reach regions experiencing supply constraints.
The Bigger Picture
The 90-day extension demonstrates how the US administration is using temporary regulatory flexibility to respond to disruptions in energy and commodity transportation. Rather than permanently changing the Jones Act, the government has chosen to maintain a limited waiver while continuing to review individual shipping requests.
The decision also reflects the tension between short-term supply requirements and long-term industrial policy. Greater access to foreign vessels can help move essential goods when domestic shipping capacity is limited, but prolonged exemptions could raise concerns among American shipbuilders and maritime workers.
For energy markets, the policy is one part of a broader effort to manage transportation costs and supply disruptions. Its effectiveness will depend on actual shipping activity and the wider conditions affecting oil, fuel and fertilizer prices.
Looking Ahead
The latest waiver gives the administration another 90 days to maintain additional flexibility in domestic commodity transportation. Shipping companies and energy suppliers will be watching the approval process to determine which routes and cargo categories can benefit from the extension. The continued case-by-case requirement means access will depend on individual assessments rather than automatic exemptions.
The longer-term debate over the Jones Act is likely to continue as policymakers weigh national security, domestic shipbuilding and the need for efficient commodity transportation. Whether the government extends the waiver again or returns to the law’s standard requirements will depend on shipping conditions, energy-market pressures and the administration’s assessment of the policy’s results.
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