FMC takes tougher stance on liners
The Federal Maritime Commission (FMC) is taking a more aggressive posture concerning international liner carriers, according to Chair Laura DiBella. At Capital Link’s annual Maritime Forum in New York, DiBella emphasized the FMC’s hopes to support the US Maritime Administration (MARAD), which plays a key role in managing US flagged merchant vessels.
DiBella noted that the FMC has been busy with many investigations and enforcement actions. She said, “We’ve been very busy…we’ve had many investigations…many enforcement actions that are coming underway…the FMC’s going to be flexing its muscles pretty big…we’re taking a much wider look, taking a much more pro-active stance towards the maritime community overall…and how we can help streamline operations, make things more competitive.”
Sydney Plante, Acting Associate Administrator for Strategic Engagement at MARAD, said the current Administration is the first to care about maritime since President Nixon’s time. Plante emphasized the importance of rebuilding the US merchant marine.
Moderator Dan Tadros from the American Club noted that the effort to rebuild the US merchant marine is bi-partisan, making it critical. Tadros hopes this means the US actually has a future in rebuilding its merchant marine.
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Plante discussed the Maritime Action Plan (MAP), which establishes an ecosystem for the industry to sustain itself. She explained that Congress and the Administration are on their side, and they want to continue the momentum.
Plante provided details on their plans, including looking at the entire base to lead to cheaper and more efficient production. This includes cargo and workforce development. She also mentioned ongoing efforts to streamline MARAD’s “Title XI” ship financing program, and reduce application turnaround times from “over a year” down to 90 days.
DiBella explained the link to potential enforcement actions where the FMC would possibly be playing a role tying the movement of US cargoes to US flag ships; “that’s a role that we’d be glad to take on, something that should be happening already but isn’t.” She also identified “incentives for US flag cargoes to use US flag ships” as an area that the FMC would be looking at more in the future.
