New US coalition lobby group aims to get domestic shipbuilding bill through Congress

By Lisa Baertlein

April 21 (Reuters) – U.S. unions and shipbuilding industry employers on Tuesday launched a coalition to rally Congress to advance legislation they say would help President Donald Trump achieve his vision for a domestic shipyard renaissance. 

China’s shipbuilding has leapfrogged the U.S., which was once a global powerhouse. The SHIPS for America Act introduced last year enjoys bipartisan support and aims to expand the fleet of U.S.-built and flagged vessels, train mariners to sail them and to fund U.S. shipbuilding activity.

“Revitalizing this critical industry is paramount to protecting our national security, creating jobs, and growing our economy,” said Michael Wessel, president of the new USA Shipbuilding Coalition.

The lobbying effort comes as the SHIPS Act legislation appears stalled amid funding, regulatory and compliance uncertainty.

Wessel’s lobbying firm helped coordinate a union-requested U.S. Trade Representative investigation under Section 301 of the Trade Act of 1974 that found China uses unfair policies and practices to dominate the maritime sector.

That finding cleared the way for port fees and tariffs on China that were put on hold after China retaliated. Those fees, along with other tonnage taxes on foreign vessels, are among the revenue streams the SHIPS Act would rely on to fund a planned domestic shipbuilding renaissance. 

A representative for the coalition said it includes nearly a dozen unions, related companies and shipyards. The group declined to share a list of its members. 

(Reporting by Lisa Baertlein; Editing by Edwina Gibbs)