The Trump administration faces fresh congressional questions over its Jones Act waiver, with Representative Salud Carbajal asking how authorities are enforcing immigration, tax and maritime requirements on foreign vessels serving domestic US routes. According to gCaptain, the California Democrat set out his concerns in an October 16 letter to Homeland Security Secretary Markwayne Mullin, seeking a response by October 31.
The request follows investigations into tanker voyages missing from public waiver records. gCaptain reported in September that it had found evidence of 14 previously unreported domestic voyages and a possible 15th. That followed Bloomberg Government reporting that at least a dozen foreign vessels had carried petroleum products worth more than $40 million without appearing in the Maritime Administration’s records. Separately, gCaptain counted 255 reported movements in the agency’s September 16 data covering the original March waiver and its May extension.
The Maritime Administration previously told Bloomberg Government it had no legal power to force operators to file the required reports. Jones Act enforcement rests with US Customs and Border Protection, part of the Department of Homeland Security. Carbajal, the senior Democrat on the House Coast Guard and Maritime Transportation Subcommittee, is asking whether oversight extends adequately to other federal obligations.
Among his questions is how officials apply immigration rules that generally bar foreign seafarers admitted under D nonimmigrant status from working on domestic vessel movements. He requested the legal basis for allowing such crews to serve on waiver voyages, along with details of any status violations, crew members abandoning their vessels and resulting enforcement action.
Tax treatment is another focus. According to gCaptain, recent Internal Revenue Service guidance says foreign corporations’ income from carrying cargo between US ports under the waiver is domestic-source income, ineligible for the Section 883 international shipping exclusion or related treaty benefits. Carbajal asked whether Homeland Security had shared operator identities and voyage information with Treasury and the IRS to help establish potential liabilities.
The waiver began in March amid energy supply disruption caused by the war with Iran. Its current extension, effective from August 17 until November 15, requires an availability check for qualified US-flagged vessels before foreign ships are authorised. Carbajal cited publicly available information indicating more than 25 domestic voyages under that extension. Bloomberg Government reported that Homeland Security referred questions to the Defense Department, which did not respond to a request for comment.