America’s Maritime Action Plan: Maritime Security Trust Fund

By Joseph Carilli Jr., Beatrice Lodi

This post is part of a series related to America’s Maritime Action Plan (“Plan”) and the Shipbuilding and Harbor Infrastructure for Prosperity and Security for America Act 2025 (“Act”). Both call for the establishment of a Maritime Security Trust Fund (“Fund”).

In February 2026, the Executive Office of the President of the United States published the Plan, which is summarized in our post on 10 March 2026 (located here). The Plan called for the establishment of the Fund to provide a dedicated, mandatory funding stream to support programs that strengthen the U.S. maritime industry and Merchant Marine. The Plan noted that by capturing certain identified revenues, the Fund would ensure consistent, long-term investment in the United States’ shipbuilding capacity, fleet expansion, and maritime workforce. The Plan directed that the Office of Management and Budget, in coordination with the U.S. Department of Transportation, deliver a legislative proposal for the Fund.

Although the Executive has yet to deliver a legislative proposal, on April 30, 2025, and May 1, 2025, respectively, the U.S. Senate and the U.S. House of Representatives (collectively, “Congress”) had introduced the Act to support the national defense and economic security of the United States by strengthening U.S. flag vessels, ports, shipyards, and the maritime workforce. Within the Act, Congress proposes the establishment of the Fund, its oversight, and its revenue streams.

The Fund clearly would represent an increase of U.S. government attention to and involvement in programs and activities relating to the U.S. commercial maritime sector. The Fund’s proposed diversified and broad revenue streams provide for a stable and predictable source of funding to support U.S. shipbuilding capacity, fleet expansion, and the maritime workforce. By ensuring consistent, long‑term investment, the Fund would play a central role in advancing the broader objectives of the Act (and meeting the objectives of the Plan) and strengthening the resilience and competitiveness of the U.S. maritime industry.

Administration and Use of the Fund

Section 101 of the Act proposes the establishment of the Maritime Security Advisor and the Maritime Security Board (“Board”). The Maritime Security Advisor would be a special advisor to the U.S. President and serves as the Chair of the Board. The Board would be comprised of certain cabinet secretaries and senior Executive officers. Among its responsibilities, the Board would be responsible for oversight of the use of funds from the Fund and making recommendations to Congress for expenditures from the Fund.

Various sections of the Act would authorize appropriations out of the Fund for use in a broad spectrum of programs related to the commercial maritime sector, including aiding in the construction of a vessel that shall be documented under the laws of the United States; incentivizing investment in a qualified shipyard; establishing, managing, and coordinating maritime incubators; providing educational assistance; and modernizing the U.S. Merchant Marine Academy.

Sources of Revenue for the Fund

Section 201 of the Act proposes several sources of revenue for the Fund. In broad terms, the Fund would be credited with amounts derived from duties, taxes, fees, and penalties collected in connection with maritime activities. More specifically, these sources can be grouped into four main categories (all of which are described in the below table):

  • tonnage taxes and light money;
  • customs duties and tariffs;
  • penalties and related charges; and
  • revenue arising from the seizure and forfeiture of maritime vessels.

The Act sets the total amount of the Fund at any time to not exceed USD 20,000,000,000.

The key takeaway of the call for the establishment of the Fund is that there is a significant degree of attention being paid by the U.S. President and Congress to reinvigorate the U.S. commercial maritime sector. It is important for industry participants to remain aware of and to consider how the developments may impact costs as well as how they may give rise to opportunities for potential profit.

Maritime Security Trust Fund Sources of Revenue

 

Tonnage taxes and light money:

 

No. Applicable Statute Description
1. 46 U.S.C. § 60301 Regular tonnage taxes.

Taxes imposed at varying rates per ton at each entry in a United States port of vessels entering from foreign ports or places, depending on the geographical point of origin of the vessel’s voyage and taxes imposed on vessels returning to the same port or place in the United States from which they departed, unless it is a United States vessel, a recreational vessel, or a barge.

 
2. 46 U.S.C. § 60302 Special tonnage taxes.

Taxes imposed at varying rates per ton at each entry in a port of the United States from a foreign port or place on (i) vessels built in the United States but owned in any part by a subject of a foreign country; (ii) other vessels not of the United States; (iii) vessel of the United States having an officer who is not a citizen of the United States; and (iv) foreign vessels entering from a foreign port or place at which vessels of the United States are not ordinarily allowed to enter and trade.

 
3. 46 U.S.C. § 60303 Light money.

A tax of 50 cents per ton imposed on vessels not of the United States at each entry in a port of the United States.

 

 

Duties:

 

No. Applicable Statute Description
4. 19 U.S.C. 1466 Equipment and repairs of vessels.

An ad valorem duty of 50% of the total cost of the equipment or any parts purchased, or the repair parts or materials to be used, or the expenses of repairs made in a foreign country upon a vessel documented under the laws of the United States to engage in the foreign or coasting trade, or a vessel intended to be employed in such trade imposed on the first arrival of such vessel in any port of the United States.

 
5. 19 U.S.C. 2411 Actions by United States Trade Representative.

Duties, fees or monetary penalties imposed by the United States Trade Representative under section 301 of the Trade Act of 1974 pursuant to the determination of the Trade Representative that the targeting of the maritime, logistics, and shipbuilding sectors for dominance by the People’s Republic of China is unreasonable and burdens or restricts United States commerce.

 
6. 46 U.S.C. § 60502 Discriminating duty on goods imported in foreign vessels or from contiguous countries.

A discriminating duty of 10% ad valorem (in addition to other duties imposed by law) imposed on goods: (a) imported in a vessel that is not of the United States unless the vessel (i) is entitled by law or treaty to enter ports in the United States on payment of the same duties as are payable on goods imported in a vessel of the United States; or (ii) is owned only by citizens of the United States and after entering a port of the United States, becomes documented as a vessel of the United States before leaving that port; or (b) produced or manufactured in a foreign country not contiguous to the United States and imported from a country contiguous to the United States, unless imported in the usual course of strictly retail trade.

 

Penalties:

 

No. Applicable Statute Description
7. 46 U.S.C. § 2302 Penalties for negligent operations and interfering with safe operation.

Penalties for operating a vessel in a negligent / grossly negligent manner, or for interfering with the safe operation of a vessel so as to endanger the life, limb, or property of a person or penalties for operating a vessel under the influence of alcohol or a dangerous drug.

 
8. 46 U.S.C. § 3318 Penalties – Inspection Generally.

Penalties for individuals in charge of operating a vessel in breach of the provisions of 46 U.S. Code Subtitle II, Part B, Chapter 33 – Inspection Generally or any regulation prescribed thereunder.

 
9. 46 U.S.C. § 3718 Penalties – Carriage of Liquid Bulk Dangerous Cargoes.

Penalties for persons or vessels violating the provisions of 46 U.S. Code Subtitle II, Part B, Chapter 37 – Carriage of Liquid Bulk Dangerous Cargoes or any regulations prescribed thereunder.

 
10. 46 U.S.C. § 4106 Penalties – Uninspected Vessels Generally.

Penalties for the owner, charterer, managing operator, agent, master, and individual in charge of a vessel operating in violation of 46 U.S. Code Subtitle II, Part B, Chapter 41 – Uninspected Vessels Generally or any regulations prescribed thereunder.

 
11. 46 U.S.C. § 5116 Penalties – Load Lines.

Penalties for the owner, charterer, managing operator, agent, master, and individual in charge of a vessel operating in violation of 46 U.S. Code Subtitle II, Part C, Chapter 51 – Load Lines or any regulations prescribed thereunder.

 
12. 46 U.S.C. § 11303 Penalties – Official Logbooks.

Penalties for a master failing to maintain an official logbook and / or failing to make an entry in the vessel’s official logbook as required by 46 U.S. Code Subtitle II, Part G, Chapter 113 – Official Logbooks.

 
13. 46 U.S.C. § 11501 Penalties for specified offenses.

Penalties for a seaman committing the following offenses: (i) for desertion, (ii) for neglecting or refusing without reasonable cause to join the seaman’s vessel or to proceed to sea in the vessel, for absence without leave within 24 hours of the vessel’s sailing from a port (at the beginning or during the voyage), or for absence without leave from duties and without sufficient reason; (iii) for quitting the vessel without leave after the vessel’s arrival at the port of delivery and before the vessel is placed in security; (iv) for willful disobedience of command at sea; (v) for continued willful disobedience or continued willful neglect of duty at sea; (vi) for assaulting a master, mate, pilot, engineer, or staff officer; (vii) for willfully damaging the vessel, or embezzling or willfully damaging any of the stores or cargo; and (viii) for smuggling for which a seaman is convicted causing loss or damage to the owner or master.

 
14. 46 U.S.C. § 12151 Penalties – Documentation of Vessels.

Penalties for persons violating 46 U.S. Code Subtitle II, Part H, Chapter 121 – Documentation of Vessels or a regulation prescribed thereunder.

 
15. 46 U.S.C. § 12507 Penalties – Vessel Identification System.

Penalties for providing false information to the Secretary of Transportation or a State issuing authority regarding the identification of a vessel, or for tampering with, removing, or falsifying the unique identification number assigned to a vessel, or otherwise violating the provisions of 46 U.S. Code Subtitle II, Part H, Chapter 125 – Vessel Identification System or a regulation prescribed thereunder.

 
16. 46 U.S.C. § 14701 General violation – Measurement of Vessels.

Penalties for the owner, charterer, managing operator, agent, master, and individual in charge of a vessel violating 46 U.S. Code Subtitle II, Part J – Measurement of Vessels or a regulation prescribed thereunder.

 
17. 46 U.S.C. § 30707 Criminal penalty – Liability of Water Carriers.

Fines under Title 18 (Crimes and Criminal Procedure) for carriers violating 46 U.S. Code Subtitle III, Chapter 307 – Liability of Water Carriers, with respect to the portion of the fine that goes to the United States Government under subsection (c) of § 30707.

 
18. 46 U.S.C. § 31309 General civil penalty – Commercial Instruments and Maritime Liens.

Penalties for a person violating 46 U.S. Code Subtitle III, Chapter 313 – Commercial Instruments and maritime liens or a regulation prescribed thereunder.

 
19. 46 U.S.C. § 31330 Penalties – Commercial Instruments.

Penalties for a mortgagor failing to disclose an obligation on a vessel, for incurring a contractual obligation in violation of the obligation to disclose and incur obligations before executing preferred mortgages, or for filing with the Secretary a mortgage made not in good faith.

 
20. 46 U.S.C. § 41107 Monetary penalties or refunds – Ocean Shipping.

Penalties for and / or refunds of charges by persons violating 46 U.S. Code Subtitle VI, Part A – Ocean Shipping or a regulation or order of the Federal Maritime Commission issued thereunder.

 
21. 46 U.S.C. § 41108 Additional penalties – Ocean Shipping.

Penalties for common carriers accepting or handling cargo for carriage under a tariff that has been suspended or after its right to use that tariff has been suspended and penalties for a common carrier unduly impairing access of a vessel documented under the laws of the United States to ocean trade between foreign ports.

 
22. 46 U.S.C. § 42108 Penalty for operating under suspended tariff or service contract.

Penalties for a common carrier accepting or handling cargo for carriage under a tariff or service contract that has been suspended, or after its right to use another tariff or service contract has been suspended.

 
23. 46 U.S.C. § 44104 Civil penalty – Evidence of Financial Responsibility for Passenger Transportation.

Penalties for persons in violation of their financial responsibility to indemnify passengers for non-performance of transportation and for persons in violation of their financial responsibility to pay liability for death or injury.

 
24. 46 U.S.C. § 70052 Seizure and forfeiture of vessel; fine and imprisonment.

Penalties for a person violating 46 U.S. Code Subtitle VII, Chapter 700, Subchapter VI – Regulation of Vessels in Territorial Waters of the United States or a regulation prescribed thereunder.

 
25. 46 U.S.C. § 70119 Civil penalty – Port Security – General.

Penalties for persons violating 46 U.S. Code Subtitle VII, Chapter 701, Subchapter I – Port Security – General or any regulation prescribed thereunder.

 
26. 46 U.S.C. § 70506 Penalties – Maritime Drug Law Enforcement.

Penalties for individuals on vessels subject to the jurisdiction of the United States who are found by the Secretary, after notice and an opportunity for a hearing, to have knowingly or intentionally possessed a controlled substance within the meaning of the Controlled Substances Act.

 
27. 46 U.S.C. § 80509 Civil penalty – Safe Containers for International Cargo.

Penalties for an owner, agent, or custodian who has been notified of an enforcement order under 46 U.S.C. § 80505 (Enforcement) and fails to take reasonable and prompt action to prevent or stop a container subject to the order from being moved in violation of the order.

 

 

Revenue generated in connection with the seizure and forfeiture of maritime vessels:

 

No. Applicable Statute Description
28. 19 U.S.C. 1703 Seizure and forfeiture of vessels.

Revenue generated in connection with the seizure or forfeiture of any vessels – and their cargo – purchased, fitted out in whole or in part, or held, in the United States or elsewhere, for the purpose of being employed to defraud the revenue or to smuggle any merchandize into the United States, or to smuggle any merchandize into the territory of any foreign government in violation of the laws there in force.

 
29. 46 U.S.C. § 70052 Seizure and forfeiture of vessel; fine and imprisonment.

Revenues generated in connection with the seizure of a vessel due to a violation of 46 U.S. Code Subtitle VII, Chapter 700, Subchapter VI – Regulation of Vessels in Territorial Waters of the United States or a regulation prescribed thereunder.

 
30. 46 U.S.C. § 70507 Forfeitures – Maritime Drug Law Enforcement.

Revenue generated in connection with the seizure and forfeiture of any property described in 21 U.S.C. § 881(a) (Forfeitures – Subject property) that is used or intended for use to commit, or to facilitate the commission of, an offense under 46 U.S.C. § 70503 (Prohibited acts) or 46 U.S.C. § 70508 (Operation of submersible vessel or semi-submersible vessel without nationality).