White House Mulls Third Extension of Jones Act Fuel Waiver Amid GOP Pushback

President Donald Trump first granted a Jones Act waiver in March to allow foreign-flagged tankers to transport gasoline and diesel between domestic ports, aiming to lower pump prices. The exemption, later extended to expire on Aug. 16, has so far enabled 195 voyages moving about 50 million barrels of fuel, according to a Cato Institute tracker. Energy Secretary Chris Wright told reporters in Texas that a third extension is "quite likely" and that the waiver has helped distribute energy supplies nationwide.

Shipping industry leaders, represented by American Waterways Operators president Jennifer Carpenter, contend the policy erodes U.S. maritime employment and offers only a marginal price benefit, with Argus estimating a 1 percent, or 6.6-cent-per-gallon, reduction in California. Republican officials, including House Majority Leader Mike Johnson and Speaker Steve Scalise, have signed a letter to Trump urging the waiver's expiration, arguing it shifts routine commerce to foreign fleets from China and Russia.