Jones Act Waiver Extended 90 Days as Foreign Tankers Remain Eligible for U.S. Energy Trades

The U.S. administration has extended the current Jones Act waiver for another 90 days, allowing foreign-flag vessels to remain eligible to transport certain energy and agricultural commodities between U.S. ports after the existing waiver expires on August 16. The new extension takes effect August 17, 2026, continuing a policy first introduced on March 17 as disruptions tied to the Iran conflict affected global energy supplies and U.S. fuel transportation. The latest version is narrower than the previous blanket waiver. Individual voyages will now be reviewed on a case-by-case basis, with the Pentagon consulting the U.S. Maritime Administration before exemptions are granted. Covered cargo remains focused on energy products and agriculture-related commodities, including fuels, fertilizers and soybean oil. Government data showed approximately 208 exemptions had been used through August 3 during the first four and a half months of the program.
Operator Impact Snapshot
Another 90 days of eligibility
Approved foreign vessels can continue participating in covered U.S.-to-U.S. cargo movements beyond August 16.
Blanket treatment is ending
The latest extension moves toward individual voyage review rather than relying on the broader blanket exemption structure.
Foreign tonnage remains available
Approved foreign ships can still enter trades normally reserved for Jones Act-qualified vessels.
Energy remains central
The extension continues to focus on energy products and agriculture-related commodities including fertilizer and soybean oil.
Approval becomes voyage-specific
A qualifying cargo category does not automatically guarantee that a proposed foreign-flag movement will receive an exemption.
Jones Act Waiver Timeline and Operating Rules
The latest extension keeps foreign coastwise participation available while changing the approval mechanism used for individual voyages.
| Item | Earlier Position | Latest Position | Operational Detail | Status |
|---|---|---|---|---|
| Initial Waiver | Issued March 17, 2026 | 60-day emergency period | Allowed qualifying cargo to move coastwise aboard foreign-flag vessels. | COMPLETED |
| First Extension | Started May 18 | 90 additional days | Extended the emergency framework through August 16. | EXPIRING |
| New Extension | Announced August 10 | Another 90 days | The next waiver period begins August 17, 2026. | APPROVED |
| Approval Method | Broad waiver treatment | Individual voyage review | The extension shifts away from automatic blanket treatment for participating foreign vessels. | CHANGED |
| Federal Review | Earlier emergency framework | Pentagon consultation with MARAD | Voyage circumstances will be reviewed before an exemption is granted. | NEW |
| Energy Products | Primary waiver category | Remain included | Fuel and other energy movements continue to sit at the center of the program. | ELIGIBLE |
| Agriculture Cargoes | Selected products included | Remain within scope | Fertilizer and soybean oil are among the agriculture-linked products identified. | ELIGIBLE |
| Waiver Usage | March through Aug. 3 | About 208 exemptions | The total provides an indication of the scale of foreign coastwise participation created by the waiver. | ACTIVE |
| Gulf to West Coast | Historically limited tanker flow | Foreign capacity expanded movements | About 1.59 million barrels reportedly moved from the Gulf Coast to the West Coast during the first 50 days. | EXPANDED |
| Puerto Rico LPG | No Jones Act LPG tanker capacity | Foreign LPG carriers became usable | The waiver enabled bulk mainland U.S. propane movements using international LPG tonnage. | OPENED |
Jones Act Waiver Coastwise Freight Comparator
Compare a Jones Act-qualified coastwise movement with a foreign-flag voyage operating under an approved waiver, including estimated approval delay and administrative costs.
Estimated Transportation Cost
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