H.R.665 - Noncontiguous Shipping Competition Act (119th Congress)
Summary
H.R. 665, the Noncontiguous Shipping Competition Act, seeks to amend Title 46 of the United States Code to provide an exemption from coastwise laws for certain noncontiguous trade routes. The bill aims to foster competition in shipping to areas like Hawaii, Alaska, and Puerto Rico. It was introduced in the House of Representatives on January 23, 2025, and referred to the Committee on Transportation and Infrastructure.
Expected Effects
The bill's passage would likely lead to increased competition among shipping companies serving noncontiguous areas of the United States. This could potentially lower shipping costs and improve service for consumers and businesses in those regions. However, it may also impact existing coastwise qualified carriers if they cannot compete effectively with new entrants.
Potential Benefits
- Potential reduction in shipping costs for consumers and businesses in noncontiguous areas.
- Increased competition among shipping companies, potentially leading to better service.
- Greater flexibility for businesses to choose shipping providers.
- Could stimulate economic activity in noncontiguous regions due to lower transportation costs.
- May encourage innovation in the shipping industry to become more competitive.
Most Benefited Areas:
Potential Disadvantages
- Potential negative impact on existing coastwise qualified carriers if they cannot compete.
- Possible job losses in the domestic shipping industry if foreign competition increases significantly.
- Concerns about the safety and environmental standards of foreign carriers.
- Could lead to a decline in the quality of service if companies prioritize cost-cutting over service.
- Potential for unfair competition if foreign carriers are subsidized by their governments.
Most Disadvantaged Areas:
Constitutional Alignment
The bill appears to align with the Commerce Clause (Article I, Section 8, Clause 3) of the U.S. Constitution, which grants Congress the power to regulate commerce with foreign nations, and among the several states. By modifying coastwise shipping regulations, Congress is exercising its authority over interstate and international trade. The bill does not appear to infringe upon any specific individual rights or liberties protected by the Constitution or its amendments.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).