Contours of the Jones Act Waiver

By Jiahang Zhou and Stefanie Andrensek

On March 18, 2026, the White House announced that there had been a Jones Act waiver issued for 60 days, (see our prior alert). Despite no formal waiver notice being published by the U.S. Department of Homeland Security or any other federal agency in the Federal Register or on agency websites, U.S. Customs and Border Protection (CBP) has published guidance on the waiver, confirming its issuance.

On March 19, 2026, CBP issued Cargo Systems Messaging Service (CSMS) Notice 68096516 confirming that the Department of Homeland Security (DHS) had issued a waiver the Jones Act pursuant to 46 U.S.C. § 501(a), at the request of the Department of Defense, effective March 17, 2026, and running through to 11:59 p.m. EDT on May 17, 2026. During this period, potentially covered products may be transported between U.S. ports on foreign-flagged vessels subject to the procedures published in the notice.

CBP has since updated its guidance, issuing CSMS Notice 68180454 on March 27, 2026. The update addresses two items. First, it expands the list of eligible cargo to 663 HTS-classified potentially covered products, including additional ethanol products. The use of HTS classifications introduces a technical compliance threshold, requiring parties to confirm that cargo falls within the enumerated categories.

Second, it clarifies that, to fall within the waiver, any covered product must be loaded onboard the relevant vessel before the deadline of 11:59 p.m. EDT on May 17, 2026.

Parties intending to rely on the waiver are expected to provide advance notice to CBP with vessel details, cargo description and HTS code, carrier, and ports and dates of movement. A paper CBP Form 1302 (Inward Cargo Declaration) must be submitted for all such cargo and must include the required waiver information for CBP to treat the shipment as domestic cargo.

Foreign-flagged vessels remain subject to standard vessel entrance and clearance requirements.

The waiver also carries a post-voyage reporting obligation. Within 10 days of completing a voyage conducted under the waiver, the vessel owner or operator, together with the party requesting the waiver (if not the vessel owner or operator), must submit a report to the U.S. Maritime Administration. This report must include vessel and voyage details, cargo description, and interestingly, a statement explaining why the waiver was in the interest of national defense. This requirement would seem to reinforce the limited and policy-driven nature of the waiver.

While the waiver presents an opportunity for foreign vessels to transport certain cargo in the U.S. coastwise trade, it should be kept in mind that the U.S. coastwise trade laws are strictly enforced. Close attention to compliance is critical. That is particularly so given that non-compliance can yield cargo seizure, forfeiture, or civil penalties.