Unanimous Senate Passage of Thune-Klobuchar Legislation to Reform Ocean Shipping Practices

South Dakota Senator John Thune and Minnesota Senator Amy Klobuchar's Ocean Shipping Reform Act has unanimously passed the United States Senate, marking a significant step towards addressing the supply chain crisis affecting American exporters. The legislation aims to support U.S. exporters, strengthen the investigatory authority of the Federal Maritime Commission (FMC), and improve transparency of industry practices. The bill, which has already passed through the U.S. House of Representatives, is set to head to the U.S. House of Representatives for further consideration.

Key Takeaways:

• The Thune-Klobuchar bill was unanimously passed by the U.S. Senate, advancing to the U.S. House of Representatives for further consideration.
• The legislation aims to support U.S. exporters by promoting transparency and fairness in ocean shipping practices, while strengthening the FMC's investigatory authority.
• The bill would prohibit ocean carriers from unreasonably declining opportunities for U.S. exports, promote transparency through required reporting, and establish new authority for the FMC to register shipping exchanges.
• The legislation also authorizes the FMC to self-initiate investigations of ocean common carriers' business practices and apply enforcement measures as appropriate.
• The FMC would gain new authority to register shipping exchanges, improving the negotiation of service contracts and promoting competition in the U.S. international trade.
• The Thune-Klobuchar bill is cosponsored by several senators, including Tammy Baldwin, Michael Bennet, Marsha Blackburn, and 23 others.
• A companion version of the bill has already passed the U.S. House of Representatives, led by U.S. Reps. Dusty Johnson and John Garamendi.

Statistics:

• The price of shipping containers has increased four-fold in just two years, causing costs for consumers and harming American businesses.
• Record profits have been reported by ocean carriers most of which are foreign-owned.
• The FMC is responsible for overseeing the U.S. international ocean transportation system for the benefit of U.S. exporters, importers, and consumers.
• The FMC ensures ocean carriers and marine terminal operators engage in fair and competitive practices to guard against detrimental effects on shipping.
• American exporters have seen significant challenges in getting their goods to market in a timely manner for a fair price.

Sources:

• South Dakota Senator John Thune's statement
• U.S. Senate website
• Federal Maritime Commission (FMC) website
• U.S. Congress Joint Committee on Commerce, Science, and Transportation website
• Senator Amy Klobuchar's statement