The tanker Prime is a foreign-flagged vessel that has been shipping calcium chloride from the Ludington Oxy plant this shipping season.
This Great Lakes Boat Blog is presented by Manistee Harbor Tours, operator of the Princess of Manistee. Book your cruise at www.manisteeharbortours.com.
By Rob Alway, Editor-in-Chief
A recent extension of a temporary Jones Act waiver by the Trump administration is drawing criticism from U.S. maritime industry organizations, including groups representing Great Lakes shipping interests.
The waiver allows certain foreign-flagged vessels to transport energy-related cargoes between U.S. ports that would normally be restricted under the Jones Act, the century-old federal law requiring domestic cargo shipments between U.S. ports to move on American-built, American-owned and American-crewed vessels.
The Trump administration initially issued the waiver in March following disruptions in global energy markets tied to the war involving Iran. The waiver was later extended an additional 90 days and currently remains in effect through mid-August.
While much of the national debate has focused on fuel transportation along the Gulf of America and Pacific Ocean coasts, Great Lakes maritime interests say the policy could have broader implications for American vessel operators and mariners.
Interlake Maritime Services, headquartered in Middleburg Heights, Ohio, operates two maritime businesses in Ludington: Lake Michigan Carferry, operator of the SS Badger, and Interlake Logistics Solutions.
The ATB Undaunted/Pere Marquette 41 traveling down the Manistee River in October 2025.
The waiver is not expected to directly affect the SS Badger’s passenger and vehicle ferry operations between Ludington and Manitowoc, Wisconsin. Interlake Logistics Solutions, however, operates the articulated tug-barge Undaunted/Pere Marquette 41, which transports cargoes on the Great Lakes and inland waterways.
Recent vessel activity in Ludington has highlighted the changing nature of bulk liquid transportation on the lakes. The Norwegian-flagged tanker Prime has been transporting calcium chloride products for OxyChem from Ludington to Sarnia, Ontario, this shipping season, replacing the longtime barge Spartan II and tug Spartan, which have been laid up in Sturgeon Bay, Wis. because of mechanical and operational issues.
Spartan/Spartan II entering Ludington channel in July 2025.
For several years, Spartan II hauled calcium chloride cargoes from Ludington. The articulated tug-barge system became a familiar presence in the port and routinely served OxyChem operations. Earlier this spring, however, Mason County Press reported the tug Spartan and barge Spartan II were sidelined indefinitely, with Prime assuming the transport duties.
The tug/barge had been operated by crews from Andrie LLC, based out of Muskegon. That operation has since been sold to Mainstay Maritime (formerly Rand Logistics) of Williamsville, NY, but still crews American-operated vessels. The Andrie tug Sarah Andrie, does provide docking support services to the Prime when it is Ludington.
Commercial aggregate docks in Ludington and Manistee also depend heavily on Great Lakes shipping traffic involving both American and Canadian vessels. Rieth-Riley Construction operates aggregate terminals along Pere Marquette Lake in Ludington and on Manistee Lake in Manistee. The TES Filer City Station on Manistee Lake in Filer City also receives material shipments by lake freighter as part of its biomass-fueled power generation operations.
The Calumet entering Ludington harbor Wednesday evening.
Jim Weakley, president of the Lake Carriers’ Association, said the waiver is “putting Americans out of work and reducing investment in U.S. ships and U.S. shipyards.”
Weakley stated broker information shows “90% of the cargo moved on foreign-flagged vessels under the waiver could have been moved on a U.S., Jones Act qualified vessel.”
According to Weakley, “spot market capacity was available but was not used.”
Weakley said the long-term concern is not necessarily immediate impacts on Great Lakes shipping, but the precedent the waiver creates for future domestic cargo movements.
“The Maritime Administration has not reported any domestic movements on the Great Lakes via the waiver,” Weakley said. “That doesn’t mean that foreign vessel operators aren’t evaluating the opportunity to move cargo under this waiver or future waivers.”
Weakley said recurring waivers could create instability for U.S.-flag operators.
“Jones Act qualified vessels are American-owned, American-built and American-crewed,” he said. “They operate within U.S. laws, pay taxes and living wages. Our sailors and their families depend on cargo for their living and our customers depend on a reliable supply chain.”
Weakley added, “Waivers create uncertainty in the industry. If waivers become more common or permanent foreign interests can subsidize cargo movements in the short term to undercut our business. The waivers risk the long-term viability and reliability of the domestic supply chain.”
Weakley said the Jones Act is particularly important on the Great Lakes because U.S. operators already compete against Canadian fleets in cross-border commerce.
“Canadian vessel operators compete with Americans in the binational Great Lakes trade,” Weakley said. “Canadian vessel operators have been trying to take down the Jones Act and access the U.S. domestic markets, even though Canada also has similar laws preserving Canadian domestic commerce for Canadian-flagged vessels.”
The Saginaw unloading aggregate at the Rieth-Riley Construction terminal on Pere Marquette Lake in 2025.
Weakley also said weakening Jones Act protections could have broader national implications.
“It would mean a less secure nation, fewer mariners and fewer shipyards,” he said.
Weakley said the law supports national security, homeland security and economic security by maintaining a domestic maritime workforce and supply chain.
Supporters of the waiver, including some energy-sector interests, contend the temporary measure provides additional flexibility for fuel transportation during ongoing global supply disruptions and refinery constraints.
Weakley disputed claims the waiver significantly lowers fuel prices.
“It does not lower energy costs,” he said. “The transportation cost on a Jones Act qualified vessel for gasoline is less than 1/3 of a penny per gallon.”
Weakley added that foreign tanker rates were at times higher than U.S.-flag tanker rates during the early stages of the Iran conflict and argued that short-term flexibility could undermine long-term domestic shipping reliability.
“Some things should not be outsourced in the name of flexibility,” Weakley said.
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This Great Lakes Boat Blog is presented by Manistee Harbor Tours, operator of the Princess of Manistee. Book your cruise at www.manisteeharbortours.com.
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