Domestic Maritime Fleet Experiences
Explosive Growth
Washington, DC - America's domestic fleet, those vessels moving cargo within the United States, has experienced explosive growth in the last three decades, more than doubling from 861 large commercial vessels to 1,894 and tripling in cargo capacity, a new report issued by the Maritime Cabotage Task Force. Lake Carriers' Association is a member of the Task Force.
The report, Full Speed Ahead, breaks new ground by counting all large commercial vessels in the U.S. domestic fleet, sometimes known as the Jones Act fleet. Previous studies have generally counted deepwater vessels only.
"The decline of the U.S. domestic fleet is a myth, and, in fact, exactly the opposite is true," said Phil Grill, Chairman of the Maritime Cabotage Task Force, which prepared the study. "Not only are there more vessels in existence than 30 years ago, but the vessels are faster, larger, and more productive. Today's fleet is both bigger and better. That means more cargo capacity and better service for U.S. shippers."
Grill called the U.S. fleet "a great American success story," today transporting 21 percent of all domestic cargo (in competition with truckers, airlines and railroads) for less than 2 percent of the national freight bill.
The productivity of ships and crews in the fleet has increased 2-4 times faster than in American business overall, the report states. It took 17 seafarers in the 1950s to move the same amount of cargo that a single seafarer moves today.
The Fleet
The U.S.-Flag fleet now includes 1,703 large dry cargo and tank barges, a marked increase from the 438 in existence in the 1960s. The report counted only "super jumbo" barges, those over 250 feet in length, the conservative equivalent of self-propelled vessels of 1,000 gross registered tons. The report's findings are extremely conservative since "super jumbos" constitute only about 5 percent of all U.S. barges.
In all, there are more than 30,000 barges in the U.S. domestic fleet operating in nearly all domestic trades. Barges, for example, transport almost 400,000 ocean-going containers each year along the East Coast of the United States alone.
More Productivity
The report also focused on the increased productivity of the U.S. fleet - increased cargo delivery capacity - the result of faster and larger vessels, increased productivity for each crewmember employed, and operational developments such as containerization. For example, according to the report:
Productivity in the deep-sea domestic fleet has increased tenfold since the 1960s;
A 1,000-foot-long self-unloading Great Lakes dry-bulk carrier can deliver four times the cargo of an earlier generation of Lakes vessel in a single sailing season; and
A modern tow boat can move more barges at one time, resulting in an increase in tow size of up to 20 percent in the last five years alone.
"These findings have important implications for U.S. national security as well," Grill said. "The domestic fleet discussed in the report is the core of the maritime industry in the United States. Not only are the crews and the vessels on which they serve vital to the national defense, but the fleet as a whole is critical to maintaining the maritime infrastructure upon which our future as a maritime power depends."
The Maritime Cabotage Task Force, which produced the report, is a broad coalition of transportation companies, pro-defense organizations, labor unions, associations and others.
Congressional Support of Domestic Fleet
Speaks Volumes
Report Encourages Congress To Maintain
Legal Structure For Fleet Prosperity
"This report (Full Speed Ahead) demonstrates the value of the Jones Act Fleet and shows that it is an important aspect of our domestic transportation system," said U.S. Senator Jack Reed (D-RI). "This report is gratifying evidence that our trust (in the domestic fleet) is well placed and I beleive we should provide the legal support for the fleet to do exactly what the report's title says - move full speed ahead."
Senator Reed's comments were made following a briefing sponsored by the Maritime Cabotage Task Force on a new study showing that the domestic fleet has nearly doubled in the number of vessels over the last 30 years and tripled in cargo capacity and worker productivity.
Rep. Neil Abercrombie (D-HI) echoed strong support for maintaining appropriate legal and economic structures for the domestic fleet saying, "The country that does not control its sea does not control its destiny."
Rep. Abercrombie continued to question the motives of anti-Jones Act forces saying, "The motives of Jones Act opponents may on the surface be good - they want cheaper [freight] rates. But the reality is that in order to achieve that goal, you have to find corporations that are not subject to U.S. regulations for labor, health, safety and taxes. We would be utterly dependent on those not accountable in any way. We would sacrifice a reliable shipping industry with people who have appropriate living standards, workplace safety standards and a stable industry."
Sen. Reed (D-RI) formerly served as a Representative and was a colleague of Rep. Abercrombie on the House Merchant Marine and Fisheries Committee.
