The "Shipbuilding and Harbor Infrastructure for Prosperity and Security for America Act of 2025," or SHIPS for America Act, seeks to enhance the national defense and economic security of the United States by revitalizing its maritime industry. The bill addresses the decline in U.S. shipbuilding capacity, the undersized maritime workforce, and the shrinking fleet of U.S. shipping vessels, which currently carry less than 2 percent of U.S. international commercial cargoes. A key provision establishes a Maritime Security Advisor and a Maritime Security Board within the Executive Office of the President. This board will coordinate national maritime policy, develop a comprehensive National Maritime Strategy, and oversee financial assistance programs. It will also ensure interagency coordination and conduct oversight of cargo preference requirements. To fund these initiatives, the bill creates a Maritime Security Trust Fund , capped at $20 billion, drawing revenue from increased tonnage taxes, duties on vessel repairs, and penalties related to unfair foreign shipping practices, particularly from foreign countries or entities of concern. It also imposes higher penalty rates on vessels linked to these foreign entities or shipyards of concern. The legislation significantly strengthens U.S. sealift capability and cargo preference by increasing the U.S. Government cargo preference requirement from 50 percent to 100 percent for U.S.-flagged vessels. It also mandates that a growing percentage of goods imported from China (starting at 1% and increasing to 10% over 10 years) must be transported on U.S.-built, U.S.-crewed, and U.S.-flagged vessels, with fines for non-compliance. A new Strategic Commercial Fleet program is established to support up to 250 active, commercially viable, and militarily useful U.S. vessels through operating and capital support payments, with a focus on U.S.-built vessels. Additionally, the bill modifies duties on vessel equipment and repairs, imposing higher rates and penalties for repairs conducted in foreign countries of concern. The bill introduces a Shipbuilding Financial Incentives program to support U.S. vessel construction and qualified shipyard investments, alongside increased funding for small shipyards and a revolving loan fund for federal ship financing. It also revises Capital Construction Funds to encourage investment in U.S. marine terminals and cargo handling equipment, explicitly prohibiting funds for cranes from China or foreign entities of concern. Workforce development is a major focus, with provisions extending Public Service Loan Forgiveness and educational assistance eligibility to Merchant Mariners. It also establishes a U.S. Merchant Marine Career Retention Program to maintain mariner qualifications for strategic sealift and creates a Military to Mariner Careers Recruitment Exchange. Significant appropriations are authorized for the U.S. Merchant Marine Academy's infrastructure modernization and for State Maritime Academies. Finally, the bill mandates modernization of merchant mariner credentialing systems , including electronic submissions and data exchange, and revises deck training requirements to reduce sea time. It also expands citizenship requirements for certain maritime roles to include noncitizen nationals and allows for the reactivation of expired licenses during national emergencies, aiming to ensure a robust and ready maritime workforce.
The "Shipbuilding and Harbor Infrastructure for Prosperity and Security for America Act of 2025," or SHIPS for America Act, seeks to enhance the national defense and economic security of the United States by revitalizing its maritime industry. The bill addresses the decline in U.S. shipbuilding capacity, the undersized maritime workforce, and the shrinking fleet of U.S. shipping vessels, which currently carry less than 2 percent of U.S. international commercial cargoes. A key provision establishes a Maritime Security Advisor and a Maritime Security Board within the Executive Office of the President. This board will coordinate national maritime policy, develop a comprehensive National Maritime Strategy, and oversee financial assistance programs. It will also ensure interagency coordination and conduct oversight of cargo preference requirements. To fund these initiatives, the bill creates a Maritime Security Trust Fund , capped at $20 billion, drawing revenue from increased tonnage taxes, duties on vessel repairs, and penalties related to unfair foreign shipping practices, particularly from foreign countries or entities of concern. It also imposes higher penalty rates on vessels linked to these foreign entities or shipyards of concern. The legislation significantly strengthens U.S. sealift capability and cargo preference by increasing the U.S. Government cargo preference requirement from 50 percent to 100 percent for U.S.-flagged vessels. It also mandates that a growing percentage of goods imported from China (starting at 1% and increasing to 10% over 10 years) must be transported on U.S.-built, U.S.-crewed, and U.S.-flagged vessels, with fines for non-compliance. A new Strategic Commercial Fleet program is established to support up to 250 active, commercially viable, and militarily useful U.S. vessels through operating and capital support payments, with a focus on U.S.-built vessels. Additionally, the bill modifies duties on vessel equipment and repairs, imposing higher rates and penalties for repairs conducted in foreign countries of concern. The bill introduces a Shipbuilding Financial Incentives program to support U.S. vessel construction and qualified shipyard investments, alongside increased funding for small shipyards and a revolving loan fund for federal ship financing. It also revises Capital Construction Funds to encourage investment in U.S. marine terminals and cargo handling equipment, explicitly prohibiting funds for cranes from China or foreign entities of concern. Workforce development is a major focus, with provisions extending Public Service Loan Forgiveness and educational assistance eligibility to Merchant Mariners. It also establishes a U.S. Merchant Marine Career Retention Program to maintain mariner qualifications for strategic sealift and creates a Military to Mariner Careers Recruitment Exchange. Significant appropriations are authorized for the U.S. Merchant Marine Academy's infrastructure modernization and for State Maritime Academies. Finally, the bill mandates modernization of merchant mariner credentialing systems , including electronic submissions and data exchange, and revises deck training requirements to reduce sea time. It also expands citizenship requirements for certain maritime roles to include noncitizen nationals and allows for the reactivation of expired licenses during national emergencies, aiming to ensure a robust and ready maritime workforce.