Republican House representatives Dusty Johnson from South Dakota and Democrat John Garamendi from California led the move.
Johnson introduced the legislation in June to reauthorise the Federal Maritime Commission (FMC), the independent federal agency responsible for regulating the US international ocean transportation system.
The House transportation and infrastructure committee passed the bill in September.
The Act strengthens the FMC’s authority to crack down on China’s shipping malpractice and includes provisions to reform ocean shipping, ensuring American imports and exports compete on a level playing field in the global market.
“This legislation builds on my Ocean Shipping Reform Act to deliver critical investments through 2027, strengthen the Commission’s independence, and ensure US businesses will compete on a fair and level playing field,” Garamendi was quoted as saying by a release from Johnson’s office.
The Act is tough on China as it establishes a formal process to report complaints against shipping exchanges like the Shanghai Shipping Exchange to the FMC for investigation and directs the FMC to report on anti-competitive business practices or non-reciprocal trade practices.
It codifies the definition of ‘controlled carrier’ under the Shipping Act to encompass state-controlled enterprises in non-market economies like China.
It updates and improves the purposes of the Shipping Act to better reflect current federal policy governing international ocean shipping, and prohibits the FMC from requiring ocean carriers to report information already reported to other federal agencies.
ALCHEMPro News Desk (DS)
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