Trump waives Jones Act for 60 days in effort to ease energy prices

President Trump recently issued a 60-day waiver of the Jones Act in an effort to lower energy prices by allowing foreign ships to transport fuel between U.S. ports. The Jones Act, a century-old law, mandates that goods shipped between American ports must be carried on ships that are U.S.-built, flagged, and crewed. The law also limits the number of tankers that domestic shippers can utilize.

The decision to grant a waiver of the Jones Act was announced by White House press secretary Karoline Leavitt, who stated that this move is intended to alleviate short-term disruptions in the oil market as the U.S. military continues its operations. The waiver will enable essential resources like oil, natural gas, fertilizer, and coal to flow freely to U.S. ports for the next sixty days.

This decision comes at a time when global oil and U.S. gas prices have been on the rise due to the conflict in Iran, prompting the Trump administration to take action to address the escalating energy costs. Gas prices in the U.S. have reached an average of $3.84 per gallon, up from $2.92 a month ago, while diesel prices have surged to over $5 per gallon, the highest level since December 2022.

Although the Trump administration has the authority to temporarily lift the Jones Act for reasons of national security, experts are doubtful that this waiver will result in significant cost savings for consumers. A recent analysis from the Center for American Progress estimates that waiving the law would only reduce gas prices by three cents per gallon.

In addition to the Jones Act waiver, the U.S. has also eased sanctions on Venezuela to allow American companies to conduct business with the country’s state-owned oil and gas company, Petróleos de Venezuela S.A. This move permits the sale of Venezuelan oil to U.S. companies and on the global market, further aiming to stabilize energy prices.

As the Trump administration continues to address the challenges posed by rising energy costs, it remains to be seen how these measures will impact consumers in the coming months. Stay tuned for updates on the latest developments in the energy market.

This article was edited by Alain Sherter and contributed to by The Associated Press.