According to Japan International Freight Forwarders Association (JIFFA), the U.S. Federal Maritime Commission (FMC) is reviewing the role of flag-of-convenience (FOC) vessels in U.S. trade.
The investigation, announced on May 21, looked at whether foreign flagging laws and practices by vessel owners, operators, and agents create unfair conditions in U.S. foreign trade. The public comment period closed on August 20.
The FMC will assess whether FOC vessels disrupt U.S. trade, especially as tariff-related volume swings already strain the market. Regulators and cargo shippers also remain mindful of the March 2024 Dali disaster in Baltimore. The National Transportation Safety Board (NTSB) report on that allision is still pending.
The commission’s findings could influence how FOC vessels operate in U.S. waters and affect future trade regulations.
