The Decline of the U.S. Merchant Marine | What's Going on With Shipping?

The Decline of the U.S. Merchant Marine
What's Going on With Shipping?
February 5, 2022
On this episode of What's Going on With Shipping, host Sal Mercogliano - Chair of the Department of History, Criminal Justice, and Political Science, former merchant mariner, and instructor of Maritime History, Security and Industry Policy - discusses the major issues, causes, and events that have led to the decline of the U.S. merchant marine from the end of the Second World War to the modern day.
#merchantmarine #shipping #logistics #usmm #supplychain
www.patreon.com/wgowshipping
00:00 Intro
01:55 Post-World War Two
05:18 Maritime Administration
06:30 Labor
09:11 Emergence of Open Registries
12:34 New Shipping Technologies
20:37 Merchant Marine in National Defense
26:00 Decline of International & Coastal Fleets
28:00 US Merchant Marine Today
28:51 Impact on Shipyards
31:34 Size of Merchant Marine as % of the World
33:05 Conclusion
The Decline of U.S. Shipbuilding
shipbuildinghistory.com/statis...
Number and Size of the U.S. Flag Merchant Fleet and Its Share of the World Fleet
www.bts.gov/content/number-an...
Vessel Inventory Reports Nov 2021
www.maritime.dot.gov/data-rep...

[@BarbaraMerryGeng]

Thank you for this comprehensive overview on the merchant marines. > My dad tried to explain what his job was all about. But - I couldn’t really understand - since I lived a very small fixed location life. > My dad started in the shipping trade as a very young man in the 1940’s & he loved it. - But then WW2 came along & it had a powerful effect on the experience of shipping. It was dangerous going around by European waters, it was dangerous bringing supplies into London- He told me a little about those things.. > It was dangerous period ! My dad learned how to face up to any number of drastic situations > Then in the 1960’s - he quit a job to come home to take care of a family emergency. - And found out, he couldn’t get rehired on a new ship. - I’m not sure if he knew how to get back in; or if he was intimidated to just give up. > From then on - he worked in the restaurant industry which he hated. > I realize the value of having merchant ships at our command. We really need to bring them back. Not everyone is going to do office jobs, especially w. computers doing more clerical stuff. > I’m all for restoring the shipping industry. It makes sense ! We need to participate in shipping as a competitor, not just as a passive participant ! Plus - more job opportunities for people who prefer physical work ! > Great presentation- Sal 👍🏼

[@oldelmo8788]

Hey Sal, Thanks for another great report . I recently retired from MMP and actually spent the last 6 years working for Matson. Because Matson goes to there own Terminals in Long Beach and Oakland, they haven't had nearly the same logistic problems as the other companies have had. We never had to wait for berth availability. We definately need more American companies in control of the supply chain. More American Ships, Crews, and Terminals.

[@wgowshipping]

Elmo...I have been talking about Matson when I talk about the reliability of service. They have some of the best percentages of any company right now for the reasons you mentioned.

[@atangapaul1141]

Will be difficult to compete with crew because of the pay gap

[@williamdavis5052]

Having ridden 2 American owners down hill from 1970 to 1982. Rise of a Scandinavian owner 1982 to 2000 & finishing my career with Asian owner in 2019, can say your synopsis is spot on. Have often reflected on specifics that ended American shipping, never put the whole decline into order. Thanks for your work

[@nickgilmore5197]

As a thirty year US maritime professional (Class Surveyor, Flag Inspector and Chief Engineer) I enjoyed your video and am impressed with everything you get right about this industry that is not well understood by most Americans. I like the idea of the VI Registry and would like to see the Unions back the idea instead of fighting it. I believe the Jones Act fleet should remain as it is, but the VI option would give opportunities for the modernization of manning levels that are very outdated in the US Fleet. The VI could give US owners the opportunity to build ships overseas to compete with foreign shippers, yet still provide good jobs for US Merchant Mariners. As a strong maritime nation, we need a highly trained and ready component of Merchant Mariners ready to sail in the event of a war.

[@jerrycomo2736]

I sailed 2nd Mate on that Lykes Ship in your video. US Gulf Coast to London. Made a lot of money in overtime and penalty time for a very easy job. I operated the elevator that raised and lowered the barges to the loading deck, then the engineers operated a sled that slide under the barge, picked it up and carried it to its slot. I realize now what a slow operation it was and how many high paid crew members were required to operate that ship. The only downside for me personally was my stateroom was small due to the shape of the forward house. I think the ship still exists as part of the government fleet tied up in VA.

[@almirria6753]

Hey Professor Sal; Let me guess you conduct your class discussions like this too. Too bad I am not younger & closer to enroll in your classes. You are quite knowledgeable in this subject/s and give a balanced info. That is quite refreshing to see that too.

[@wgowshipping]

Pretty much. It depends on the subject and size of the class.

[@Jalu3]

Are classes aged limited? Can individuals enroll, attend remotely, and take test online?

[@deemushroomguy]

@@Jalu3 you cannot commit age discrimination against someone in the pursuit of knowledge, provided they can grasp the content at hand. Just fyi. Enrollment in college classes is usually expensive. Remember the price of books and materials for the class.

[@wgowshipping]

@@Jalu3 No age limit, but they are in person at Campbell.

[@almirria6753]

@@wgowshipping Durn it...

[@kurtb5512]

Great video. I sailed on most the ships you mentioned. The SL7s SS Antares, SS Capella, LNG Virgo, LNG Gemini, Type C7 class CSX Producer, Trader, S.S. El Faro, El Morro and El Yunque. Most of the ships in my 23 years of sailing were old steam ships. So it was a great pleasure having to experience those old ships at the end of their sea going lives. I left the industry when they were gone in 2015

[@corvus5464]

I think you did a good job of summarizing the decline of US. Shipping. As your lecture shows this is such a complex issue, and if revival of a US Merchant fleet were easy, we wouldn’t be in this situation . Because we import way many more goods than we export, there is not enough export cargo from US ports to sustain any version of an expanded US fleet. Accordingly, a revived US Merchant Marine would have to compete internationally to be able to pick up cargos from foreign ports. I'm afraid, that not only has our Merchane Marine declined , but or heavy industrial base has without which the prospects of revived US Merchant Marine are dim. Chris T. , SUNY Maritime College, ME ‘75

[@talldude5841]

I really enjoy all of your videos. Maybe sometime you could talk about the underrated Great Lakes shipping here right in front of us in the USA. I live about an hour from Lake Erie here in Ohio, and everyone is talking about its revival. I love waking right up to the ships and seeing these huge lake freighters less than 5 feet away from me. For some reason, it does not get the respect it deserves. I guess we just take them for granted?

[@EggBram]

The British Merchant Navy has also suffered a very similar decline. I first went to sea in 1965 as a deck cadet. This was an excellent apprenticeship whereby I was employed by a single shipping company which assured me a promotional ladder within that company as and when I gained my certificates (licences). It paid for my study leave, so gaining certificates both professional (2nd Mates, Mates & Masters) and those required to serve i.e. Fire fighting, Radar courses, first-aid, ship masters medical courses etc were also paid by my company. You mention the Falklands conflict but this was far from a simple experience re chartering enough merchant ships as the MN was in large decline at that time and would be impossible now to achieve that level of charter of MN ships. Nations allowing their declines of their MM doesn't only effect the fleet sizes but has a knock-on effect into shipbuilding, as you point out. Further it effects steel production etc etc. With a declining fleet this in particular has a big effect on the City of London's shipping services. Why should London dominate world insurance and chartering? Of course, like everything to do with shipping this will follow the trend and move more and more to the Far East. There is lip service paid to keeping maritime officers for the future such that flagging to the British Flag requires cadet training but these cadets sea service periods are mainly on vessels without British officers, with serious problems due to language differences on both their training and social environment. And on completion of their cadet-ships there is little or no opportunity for further employment advancement as junior deck/engineer officers. Great channel by the way but I don't think your new camera is up to par ;-) Egg

[@philiptaylor8790]

I agree with egg. 25 yrs as a bulk liquid terminal op UK and I can only recall meeting 2 british first officers. Never a problem with professionalism, standards or language. Often discussed though , as an island nation reliant on trade and imported food , what if.....

[@GS-pd9qq]

Mr. Mercogliano, I found your presentation here very balanced and informative to those who are unaware of the history and present situation in and of the USMM. I am well aware that there are many topics of the overall plight yet to be explored and look forward to your bringing them to light.

[@joshuasmith5221]

Good lecture! I would also argue that the State Department has continuously undermined American merchant marine policy since before World War II ended. 🙂

[@p0ttbitz247]

Just recently got my MMC and started working with Edison Chouest Offshore. Being part of the Merchant Marine has been an absolute blast.

[@dankyden]

did you do the isu internship?

[@johnbrossack3791]

Logistics, logistics, logistics. It does not matter if you're trying to support the local 7-11, or on operation on the scale of Desert Storm. It's logistics. How do you effectively get what you need, from point A to point B. In my career in petro/chemical heavy construction, a key member of our team was the traffic and logistics coordinator. The team would look at what we had to move, where we had to move it from and then how to move it. This study ranged from local LTL all the way to the heavy and special carriers. The vast majority of our fabricated process equipment was fabricated offshore and it was big. The traffic and logistics team was critical to the success of the project schedule. If you don't have it on site, you cannot proceed, period. I will also state that all of the heavy/special sea carriers were NOT American carriers. They were typically European carriers, skilled, efficient but there were not a lot of them. You bring out many, many good points on the decline of the US Merchant Marine, but I think that the root cause of that decline is the attitude of the current 'ruling class' to think everything can be done from a keyboard. These people have NO idea what it takes to do the real work. If it ain't on Facebook they're clueless. Keep up the great work telling the story of the decline of the US Merchant Marine. Hopefully, the US will not find out the hard way that th neglect of the Merchant Marine was a catastrophic mistake. Apologies for the rant.

[@wgowshipping]

No apologies. Glad you watched.

[@homeaccount1524]

Well said! I learn so much! Thanks!

[@marcmeinzer8859]

I was an AB unlimited for a few years after getting fed up with teaching high school, since I got my mariner’s document immediately upon discharge from the submarine service where I was a quartermaster. This was from 1988 to 1995. I ended up going to barber college rather than wasting my money on Crawford’s cram school to get a mate’s ticket. Two trends which could grow the merchant marine are [1] reflagging of foreign built ships, which after all, does occur and then [2] automating crewing to make American crews smaller and more cost competitive by eventually halving the size of crews by placing mooring lines on their own automatic mooring winches and using tougher and smaller lines which could be spooled up like the wire lines they use on the Great Lakes. Then automating and fire-proofing engine spaces to be operated remotely while flooded with inert gas to prevent fires. And then converting the stewards departments essentially to airline food with only stewardesses or something to that effect instead of multiple cooks. In other words even less habitability. Ship building needs to become entirely modular. Some major shock needs to occur though owing to the prevailing climate of all-encompassing inertia and obliviousness. Most Americans think that the suburbs are the entirety of reality, don’t travel, and think that “dirty” jobs are for third world types. I remember the giant SL7s flying down the Red Sea at 35 knots during Desert Storm. I was on a pre-positioning ship hauling a portable Air Force base plus 10,000 tons of bombs. The most fun I’ve ever had while pre-positioned in the Mediterranean on the M/V Advantage.

[@manatee2500]

I started in the liner business in ‘94. At that time the conference system was still intact but there was already a decline in preference cargo and us-flag impelled cargo. Sealand, APL, Lykes Bros. etc were all buying or chartering in foreign flagged vessels because the manning costs were uneconomical. People in the boardrooms back then & today are looking at cost per teu/day because they compete on the open market with CMA, MSC, Maersk, and COSCO. I have seen US export ocean freight rates of USD 200/40ft more than once. With the exception of the past couple of years, most container/liner shipping companies consistently achieved subpar results. (COSCO and other state controlled carriers will always exist in one guise or the other and have a distorting effect on the liner market although their influence varies by trade lane. ) Foreign owners have not ordered commercial vessels from American yards in decades and I predict that this will not be changing in the future regardless of administration or party. Beyond the requirements of us flag impelled or preference cargo there is no business reason to expand the US flag fleet. IIRC, During the Falkland’s War the UK grabbed what tonnage it needed from the vessels in port, this remains an unstated(understated) policy option for the US.

[@lanceromance6793]

I was a Tankerman on a LNG tanker in the 79's. One problem we had was product temp when delivering to Carribean and SA ports. That went away after the installation of a repressurization array. No more hanging a cargo hose over the side and venting, lol. The RO/RO ships were a joke. The first time they were tasked to a mission, it was a fiasco. More than 1/2 could not weigh anchor and reach a local destination.

[@markcole5602]

Thank You, God Bless America.

[@charlesrowan4632]

Man Sal you know a lot of stuff.Thanks for explaining everything.

[@1919champ]

Love the channel and the new view looks great!

[@paulkersey2179]

Thank you , every informative.

[@craigdalton445]

Great Talk Sal !

[@scottn7cy]

I learn every time I watch one of your videos.

[@kathleenriveraspencer4136]

wonderful history .. thank you

[@nucman7529]

Good morning! Keep up the good work.

[@wgowshipping]

Thank you! Will do!

[@robertoluis9238]

GREAT REPORT, BRAVO...................

[@ianwoods5656]

Thanks for that.

[@seanwalsh5394]

Thanks. I didn't know until this video that flagging ships in Panama came about as a way around the Neutrality Act.

[@kewba11]

When you tell the story of US Merchant Marine most of the events are described as "we did..." whether the action was corporate, such as when Container Man moved his operation to Korea or government. When the topic is labor unions, though, the pronoun suddenly becomes "they" and "they need to...". My question is how many unions are too many, and how many vendors and sub-contractors are too many, and how many flags of convenience and tax/regulation avoidance are too many?

[@wgowshipping]

I am a former union member so I don't quite know how to answer your question. Unions were essential at establishing the supremacy of the merchant marine, but they need to adapt to the changing nature of the current situation.

[@kewba11]

I'm probably just reading too much into an offhand comment that there are too many unions, in a story that's largely about an increase in the number of offshore tax havens for regulation-averse corporations.

[@wgowshipping]

@@kewba11 The issue is with 180 ships, the unions are actually working against each other vice working to increase their membership and number of ships.

[@jworman7376]

Well done. It used to be said that the merchant marine is the 4th arm of the military. 90% of goods go by sea. You can't can't depend on foreign flag ships in time of war. We sawthis inViet Nam. Bomb's were loaded on a foregn ship at Port Chicago bomb depot. When the filipino crew heard where they were headed, they said "no way" The bombs were off loaded and loaded on my ship, the Pan American Victory. Same thing happened during the gulf war. APL was running foreign flag ship's into Kuwait. Those ships refused to go into harms way. APL had to take American Flag ships to put on that run. Lessons learned that are forgotten.

[@markdavis8888]

The US does not have many large ships but there are plenty of jobs for those who want them. I had no difficulty staying employed for over thirty years with no lapses. As for supply chain, I think this year's bottle neck should be an eye opener for the US military.

[@jondeur2686]

Care to explain why this is important for the military?

[@Hotspur37]

@@jondeur2686 less US ships means less sea lift capability in war time. Foreign flag carriers could just refuse to carry military equipment

[@shootermchavoc1293]

Would you still recommend this trade as a career for someone starting out completely new?

[@jondeur2686]

@@shootermchavoc1293 Good question. Maybe things have changed since I've done any reading on it, but I find what Mark Davis says about lots of jobs in the merchant marine hard to believe.

[@markdavis8888]

@@shootermchavoc1293 Only if its something you really want to do. There are easier and more lucrative ways to make a living, but there is nothing ordinary about piloting a ship.

[@pierheadjump]

😎 Thanks Sal ⚓️ great discussion. Corporate interest moved all American shipping offshore. Unions have been champion of the middle class. I agree a consolidated union would be best. Thanks ⚓️

[@seacloudseacloud4809]

Sal Thank you for your great videos/podcasts, this is very good recap of our industry. We need more publicly to increase awareness that there are great paying jobs right now that are going unfilled due to lack of US qualified trained certified officers & crews. All the SOLAS regulations unfortunately has driven too many seafarers out of industry and their jobs unfilled.

[@Bdchannel77620]

Great video Sal. Not sure if it’s within your wheelhouse, but would love to see a comparison of US vs China merchant fleet/capabilities… and role of civil maritime in China’s military projection.

[@byronharano2391]

Sealand and Matson Shipping were the two only truly reliable shipping companies to Hawai'i and back, including the Marianas 🇲🇵. Only Matson remains today as I know. MAHALO Sal for a history on Sealand, 😅

[@pierQRzt180]

6 barrels a mile, insane the inefficiencies from that time.

[@gregoryegan4132]

Excellent discussion, thank you. Great info with what and how, but I've always wondered WHY (demise of US M fleet). You touched on couple things but maybe could you provide further detail? Long standing theories such as costly compliance with USCG regs and too high labor costs (comparatively) are always first things mentioned, but is that true? In terms of domestic shipbuilding, there is no doubt and evidence supports that we are not competitive with the rest of the world. But that also is another topic. Great video with interesting history provided. 👍

[@wgowshipping]

Those are factors. The rise of open registries with lower costs attracted many companies and operators.

[@davidvik1451]

We seem to have a history of making economic choices that throw domestic labor and industries under the bus. Names like Bell & Howell, Zenith, RCA, and Motorola were giants of US made home electronics until the State Department encourage the transfer of technology, and production to Japan in order keep them a capitalist/non-communist country in Asia. The company names may still exist, but you won't find made in USA on the products. ( kinda like APL).For similar reasons one arm of government was encouraging garment and textile companies to move production to Central American countries at the same time other agencies had programs aimed at stimulating the distressed industry? It appears that short term foreign policy "in the national interest" will often create domestic economic and security issues in the future. FYI: The Manhattan as launched in 1961 was the largest tanker in the world, but was not converted to the icebreaker until 1968 at Sun Ship Building where she was cut into sections so work could be done in several yards at the same time, and reassembled at Sun where she got the new bow. I first saw Manhattan in 1965 out bound on the Columbia with a load of grain for Asia. Then again out bound in the later 80's on what might have been her trip to the scrappers. Keep going Sal! David Vik

[@dennisj.brennan1514]

Hey Sal Great presentation as always. Still would love to hear how the USVI would help the declining US MM. To revive the fleet we need to have cargo and we cannot get the cargo without being more competitive in the world market. One way or another that is going take some form of USG support. DOD is going to be the major beneficiary so perhaps they should tapped (but the commercial sector may not to be under DOD control) USG.agencies move a godawful lot of cargo but requiring that to go on USFlag has always been an issue because of the added cost to be incurred over what is available on the world market. If we could get USFlag in a position to equal or beat the world market, and be in sufficient numbers to offer service, we might have a shot at getting the USG agencies to commit to 100%, just like the military now does, albeit somewhat reluctantly. I agree a more consolidated approach to the labor issues would be a good thing. By the same token, it would be good to have the owners all working together towards the v greater good of whole industry.

[@selcukizer7283]

Working conditions of sea man in 19 th century, remainded me of Hanry Dana Junior's Two Years Before the Mast.

[@allenschmitz9644]

You have to love them Red herring Unions.😎

[@user-hw5pd1mv9b]

Taxation and militant unionism are two of the major problems of the Merchant Marine.

[@_tattoomancraig]

The process to get on is ridiculous in the USA

[@brucesmith3072]

Great report Prof. Sal, and yes, this complicated subject could go on for many videos. By trade, my career in advertising had nothing to do with "transportation" ie ships, trains, CARS. It's all a fun hobby. But I was fascinated once by a train historian who claimed America, for a sizeable and stable country, never did build a strong Merchant Marine. He claims it's because we used all our money & technology on railroads which was vital to unifying our huge land mass. Kinda' let other countries invest & deliver goods/minerals we need, without heavy investment. Matson to Hawaii OK, APL for rich American travellers same, but SERIOUS investments? That was a crucial time for MM investments. Maybe we should research what (once) greats like P&O did?

[@martineastburn3679]

Can some day you talk about Matson Bear line out of Oakland ? We had them to our small doc on Kwajalein , Marshall Islands in the 60's. I think I have some pictures. There were a lot of Naval / Army / Marine bases across the Pacific and Indo oceans... How were they and are they supplied now. Kwajalein has a 0.7 mile long run way which is short for volume cargo - but they did some.

[@airseacapt1]

For the price of a Yankee Captain and CHENG, including transportation and vacation Shipowners can hire an entire crew from the third world. Of course Baltimore proves that you get what you pay for, particularly Indian engineers.

[@johnabarnes]

Need to add in Eastern Shipbuilding in Panama City FL who is building new Coast Guard Offshore Cutter ships.

[@wgowshipping]

Good catch.

[@johnbeaulieu2404]

The problem as always is money, where is it going to come from, how is it going to be used (and not to line the pockets of consultants). The US Budget is already heavily dependent on borrowing. Are we going to subsidize shipbuilding costs, crew payroll, or what. Perhaps a good start may be a Federal Dockage Fee applied to any foreign ship offloading cargo in a US port. The base rate would be low but would scale with the volume of cargo unloaded. Another problem is that Congress has been using money from the Harbor Maintenance Fees to help reduce the Federal Deficit, rather than using its intended purpose to dredge harbors. Cities and States have to depend on twisting Senators arms or raising their own money to get needed dredging done.

[@PlanetFrosty]

So, how does the US repopulate the merchant marine? My suggestion is that we use innovative lower cost fuels creating construction and safety protocols. Step 1. New LNG carriers and methodologies. 2. Intensive research into fuels including detailed analysis. 3. Building of advanced cargo and passenger ships.

[@wgowshipping]

That question is a whole other video...or videos.

[@PlanetFrosty]

@@wgowshipping Yes, it is and while not part of this discussion, the Nordsteam2 and Russian Gas plays into this. Putin’s arctic gas is low quality and must be hyper hydrogenated, but it needs even more refinement because what they actually get is not the same quality. Methane shippers face more processing as its moisture content is high and more issues. North Sea gas faces similar issues and requires processing. The US advantage is higher quality methane and lower cost. Besides, the French operate the faculty and can you really trust the French?🤔😂! Seriously, the tech rests with US to produce higher BTU gas and we make more per therm based on our deposits and abilities. Putin doesn’t have the world on a string, but soggy gas pipeline which has to be carefully managed for moisture. The Ukraine nonsense of Putin is silly and he really is making a mess and has oversold himself. Even the Saudis have higher sulphur oil than we in the US. We’ve been blessed, both on and off shore. Putin is one poor businessman and hurting his economic interests with Cold War mentality.

[@hopewellsmit7819]

is the merchant marine act convolution to other acts + reserve forces acts, gar , league of nations longer list ?was there a change in the Act/s ~! that many are not updated about? the run arounds of registry is chaos

[@maryt2887]

Watching this in April 2024. Really enjoyed this history lesson. All new to this landlubber. I tried to find out what benefits accrue to countries that provide registration for ships, but all that Google gave were the benefits to the ship owners of using a different country than their own. From your discussion of potential law suits from the Key Bridge accident, it seems that these registry countries would be libel for damages. So what are the benefits? Thanks.

[@janisreifsteck78]

Please consider explaining the Balitc Dry Index. Please consider how many bottlenecks will be remedied by over correction on the part of the Federal Reserve. Raising interest rates too high too quickly.

[@PlanetFrosty]

My interest in this is we have the opportunity to build and use our Navy as Constitutionally intended. A protection for commerce. I would suggest that this builds opportunity for the “little guy” the mom and pop. In the US interior as well as on the cost. With technology we can have smaller more medium sized companies building ships, steel making and other industries that once thought needed to be massive no longer need to be, maybe with the exception of aircraft carrier and submarines. While in electronic fabrication facilities and economies of scale tend to lend to larger. New technologies are coming on line that may revamp the semiconductor manufacturing and new board and chassis manufacturing could reorient into US and/or protectorates. We need to move.

[@dennis-1983]

Sal where did you get the graphic with all of the US flag carriers?

[@wgowshipping]

I made it.

[@tgmct]

When you discuss the US Merchant Marine, I suspect that you include the Military Sealift Command and reserve components as part of that overall grouping. There has been a numbers game taking place for a while that needs to be called out and addressed. Back in the 80’s there were a significant number of US Navy auxiliary vessels that were moved over to the Sealift Command. These were mostly oilers and other replenishment vessels. I’m not sure what the numbers were but it was a lot more than a dozen. As a member of the Navy in the era just before they transferred, I was certainly not adversed to the move. Back in the 70’s, duty on these vessels was considered some of the most undesirable the Navy had to offer and was sometimes threatened as where a sailor would end up if they were a bad boy. I’m not suggesting that things were roses for the merchant sailors, but at least they were reasonably paid with much more off time. The item that needs to be called out is that the US Navy keeps on suggesting that they need to return to XXX number of ships, but they seem to neglect to subtract these transferred auxiliaries from their count. I suspect it’s the same with associated costs and personnel numbers too. Hmmm, another shell game by both congress and the military industrial complex? I have no issue with everyone getting what they need. I would like a little more honesty in Washington though. We’re talking about billions here. Well, you asked for us to comment on things that need to be addressed more in depth… I’ve got another in my back pocket when you’re done with this one. Thanks, Tim

[@wgowshipping]

When look at the 300 ships in the US Navy about 60 are MSC.

[@robertferrand4906]

Genius. Now, in the past, I have suggested your knowledge should be transferred to you becoming the the Marad Administrator. That idea did not get the support I had hoped for. So, this piece "The Decline of the U.S. Merchant Marine" is so well done, I think you should be nominated for President of the United States. Some, may argue, I have gone too far. But, think about Sal brains at the helm of this country. I think it is a great idea. Hey folks.....lets gets some support for Sal for President. Trump would not even dare to go up against those brains. No contest.

[@befaffled1635]

Sadly, he could be the commandant of the coast guard and changes would never happen. Follow the cargo .. the U.S is just a slave to the all mighty dollar and well, money talks. This is a terrible livelihood considering how hard these men and women work, what they sacrifice, and have to pay to achieve larger scopes of authority in their careers. Everything done is based on changes that benefit the money makers and those who implement the regulations that support greed and growth and actually have created a huge risk for mariners by ignoring and allowing exceptions to some mariners vs others based on politically corrupt agreements.

[@befaffled1635]

The only thing that might make actual change is focusing on the root cause of the problem. And the shit trickles up. If you know what they know. Then you have leverage to some degree.

[@michaelcowling9928]

Remove the requirement for US Merchant Marine ships to be built in the US. Our shipyards are too expensive and too accustomed to fat military contracts to know how to build civilian ships with the speed and cost needed to compete on the world stage. Keep all those other requirements for US owned, flagged, and crewed if you want, but I don't think they are all necessary either.

[@wgowshipping]

That requirement is not on US ships in foreign trade, but it still requires the Maritime Security Program - about $5M/ship/year - to keep 60 ships enrolled.

[@mojoman8023]

You bet I'm going back. Hopefully before the New Year. 73 year old AB

[@mistermusturd6402]

The second season of The Wire is what it’s all about. That’s why I’m here.

[@kathleenriveraspencer4136]

does pete B. @ Dept. of Transportation attend to what is going on with shipping?

[@davidconnell1557]

Sal, it's not just the Merchant Marine...

[@matthiatt5002]

I have trouble following these types of presentations, anyone know a good book on us shipping history that covers this stuff?

[@danielasari7929]

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[@danielasari7929]

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[@bullukmark3670]

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[@JackDecker63]

I would like to know about ships used for troop deployment. Are they still using ships to deploy the Army? Or is it all USAF cargo/passenger jets?

[@wgowshipping]

Most troops go by plane. Mainly equipment goes by ship.

[@luderickwong]

why not use those "close allies" to kick start the situation? say, order one or two ship from japan? if according to their ship building channel in youtube, they can build such a ship within couple of months. and we are not talking about warships, no secret there. when those unions smell the money, they will come and bang your door ask for a share. the problem would be those in the air condition room planning budgets. do they realize that war needs continuous supplies? and a pack of mre for soldiers if transport by planes would be rocket high price. a lot more than manufacturing cost of that pack of junk food. and air lift a company of tanks is a expensive job. not cost effective at all. if the plan fails, at least you still have those ships to replace those 40 years old ship, and a benchmark cost to shut up those unions.

[@andrewglessner9355]

14:48 us shipyards too exp

[@michaelcostello5172]

The Jones Act, it's all because of the Jones Act.

[@kisstune]

THIS THIS THIS.

[@wgowshipping]

Britain does not have the Jones Act but it fell to #22 in the world. The US is at #21 but Britain does not have the Jones Act.

[@chriskelly3678]

Nitpicking here, Prefer old youtube Picture frame, Your new frame reminds me my office needs declutter

[@eliasthienpont6330]

🦁🦁🦁🦁🦁🦁LION c LIKE No. 864 -----> Nice Job! I sailed in the late 60s, big grey boats with a flat roof. Can you say the Gulf of Tonkin

[@mns8732]

If its cuts into the bankers interest curve , it aint gonna happen.

[@laxmania4]

Sal if I assume all you say is true it begs the question with the rising power of China. How’s China’s merchant marine looking ? Is it on a growth slope or is the decline of the US marine more of a global trend all around the world? (Hopefully) 😩

[@wgowshipping]

The Chinese merchant marine is second in the world.

[@captsam54]

I am throwing the dice and saying that there will be a resurgence due to what's happing now with with world commerce... and of course the plandemic...

[@fag311061]

Neither Germany or Japan, bought vessels under Merchant Sales Act of 1946. So about what ships you talking about ? The U.S.War Department got 100 Liberty ships in 1946 and used it under SCAJAP (Ship Command Authority Japan), for the repatriation of Japanese military personnel and civilians. But all these vessels returned to USMC custody and where laid up. A handfull Liberties nd T2's bought by German companies, but the number was below five vessels. Both nations rebuild their merchant marine in the 50's with new constructions to boost their economy, Italy was the only former axis power, buying Liberties, T2's and N3's under the Act.

[@wgowshipping]

Italy received over a 100 ships. You are correct about Japan, but they also received LSTs and C1-M-AV1s and operated them through the Korean War. About Germany I was mistaken, but they did buy used ships and benefitted under the Marshall Plan.

[@wgowshipping]

drum.lib.umd.edu/handle/1903/9340 The appendix has a good break down on the ships sold under the act. Germany & Japan did not have civilian governments until the 50s, so ships were not sold to them but used for their transportation of goods.

[@fag311061]

@@wgowshipping that's possible. But they're not get this ships under the MMA 1946. One the many documents I own, is a a report on all vessel sold under MMA 1946 by country.And in 30 years of research , there is also not one vessel I found build by the Commission, that was operated under Japaneses Flag and Registry. You have names?

[@msurkan1]

@sal - Now, let me be perfectly clear. A robust US merchant marine will do nothing to solve the current shipping congestion and export problems. US shippers will react the same to global economy incentives as foreign ones. A revitalized regulatory regime can address these problems, and can apply to both foreign and US flagged vessels. In fact, it would be a travesty to ONLY enact and enforce regulations and laws on US ships (such as the prosecution of assaults, mistreatment of crew, etc). It is perfectly within the power of Congress and regulators to achieve these goals WITHOUT a US merchant marine. True, a US merchant marine is vital for national security in a time of war, and should be invested in, but let's not confuse the current shipping problems with national security. All the current issues are solvable through revitalized regulation of foreign ships. In fact, any plan that didn't include a new aggressive regulatory and enforcement effort on foreign shipping would be a grave disappointment.

[@wgowshipping]

Michael - I did not state that a robust US merchant marine will solve the current shipping congestion and export problems; so I am not sure why are you are alluding to this. I am not sure where you are getting the issue (or as you say travesty) to enforce laws and regulation on only US ships. Through our Port State Control agreements, the USCG enforces international and national laws on all ships entering US waters. Your confusion is the idea that the we can invest only in a merchant marine for time of war - which is the same one adopted by the US military in the 1980/90s - without investing in the commercial side of the industry. You should watch my Monday, What The Ship, where I will be discussing the new version of the Ocean Reform Act passed by the Senate. The supply chain issues may be alleviated by some regulation over international shipping - in particular the requirement to take American exports; however the current supply chain is not solely a maritime issue. What I set out to do in the video - which is what makes your comment confusing to me - is discuss how the U.S. merchant marine declined during the years post-WWII.

[@msurkan1]

@@wgowshipping To quote your video (timestamp 34:19): “The lack of a merchant marine has an impact. Has an impact on our economy as we’re seeing with congestion and the inability to export our goods from ports. It puts us at a disadvantage when we want to export goods like LNG over to Europe and deal with countries like Russia and China.” This statement would seem to imply that you think having a stronger US merchant marine would in some way help alleviate the congestion and goods exports problems that we are currently facing. I just don't see how a larger US merchant marine would help with this in any way. US shipping companies are going to behave in the same way as foreign ones, unless there are specific incentives and regulations to change that. But any incentive or regulation that could be applied to US maritime firms could easily work for foreign companies as well, so just having a larger US merchant marine wouldn't solve this problem. It speaks volumes that in this very video you pointed out that US shipping firms turned down US government subsidies back in the '70s because they didn't like the strings that were attached. The subsidies are going to have to be of a massively substantial nature before any company (foreign or domestic) would want to accept the conditions that might come with them (to favor US exports, etc). My point is that the only way to solve the congestion and export problems we are currently facing is through far more robust, and aggressive, regulation AND infrastructure investment (e.g. setting up new ports in more locations, as you've suggested). But none of that requires, or is even helped by, a US merchant marine. I agree that a robust US merchant marine has profound security implications during the time of war. I also agree that it is too late to start investing in a US merchant marine at the time a war breaks out, and that such investments need to be made sooner. So I actually support creating a stronger merchant marine, and sooner rather than later. My problem is when the creation of a stronger US merchant marine is in any way tied to solving the congestion or export issues that we are currently facing (even with LNG exports). A large US merchant marine, in and of itself, solves none of these problems, and the solutions to those problems would apply equally to both foreign and domestic firms. Yes, let's invest in a strong US merchant marine, but let's not try to justify such an investment as a solution to the supply chain and export problems we are facing.

[@wgowshipping]

@@msurkan1 Yes...I did say that. What I did not say was a robust US merchant marine will solve the current shipping congestion. If we had a domestic merchant marine that carried a portion of our imports and exports, we would have a great ability to legislate over shipping than currently exists with the current deregulation that we passed in 1984 and 1998 that has led to almost no US involvment in this trade, except for the 60 ships in the Maritime Security Program. The removal of the regulations and incentives is what led to the demise of the US foreign trade lines. The example of Sea-Land turning down subsides during the leadership of McLean was an isolated event. Just look at the amount of subsidies that many current lines get today from their nations, i.e. China and Korea. If we had a larger merchant marine, than you would probably see more investment in ports, infrastructure, and knowledge about this sector in the public. The commercial side plays right into the national security element and you can not look at them as independent. That is the problem that the Dept of Defense did post-World War II and has led us to where we are today. Once again, I did not say that a larger merchant marine alleviates the port congestion and supply chain. I think when foreign operators are refusing to take American exports and we are nearly 100% reliant on foreign flag ships to haul our exports, it does not place in a position to negotiate or even legislate. This situation in WWI led to the Merchant Marine Act of 1920 and you are seeing now with the passage of the Ocean Reform Acts coming out of the House and Senate. You need to play out my statement where I talk about the impact the lack of a merchant marine has on our maritime infrastructure and its impact on the naval establishment, along with the use of soft power in areas such as transporting LNG to Europe. The lack of yards and repair facilties make US Navy ships more expensive and fewer in numbers, which has the potential to endanger the world maritime highways in which the flow of goods are guaranteed.

[@msurkan1]

@@wgowshipping I beg to differ with your statement: "If we had a domestic merchant marine that carried a portion of our imports and exports, we would have a great ability to legislate over shipping than currently exists". There is no reason why Congress can't pass robust maritime regulations even if there were no US merchant marine at all. If there is no political will to setup a robust regulatory regime in the absence of a strong US merchant marine, there is little chance such regulations would be passed if a strong US merchant marine existed. Quite the opposite, in fact. A large US merchant marine would constitute a strong anti-marine regulation lobby group that Congress would never defy. There is no regulation or incentive that the US government could apply to a domestic merchant marine that it couldn't do to foreign companies. Foreign firms will put up with a lot if that is the only way they can do business with US ports. Having a large US merchant marine doesn't create more leverage or make it easier for Congress to legislate, just the opposite. The ONLY benefit to a large US merchant marine is 1) for security during time of war and 2) providing jobs. Those are important benefits to be sure, but that's about the extent of it and I think it is pushing things to hope that building a stronger domestic merchant marine would do even more.

[@ivomedic5745]

Merchant mariners decline in USA because is only 180 ships left ,thanks to our polities hens!

[@jamesshaw3622]

Is it too late to make a career out of being a licensed merchant marine? I love adventurous jobs.

[@wgowshipping]

Never too late

[@davidsloane1270]

Sal, you repeated a history lesson which anyone who has been in the industry is aware of but at no point did you tell your audience on how to grow the U.S. Flag Merchant Marine.

[@wgowshipping]

David...you are correct. This episode was just meant to focus on the decline. I will have other episodes on that. I have written a few articles for gCaptain on the subject.

[@ccrider5398]

Isn't just a matter of economics? If millions of middle-class US citizens can get cheap everything from underwear to computers from China on Chinese ships, it enables the government to focus on reparations for slavery and universal single pay health care. Ship builders and operators don't want to be the cash cow for social programs. Socio-economics look at shipping as polluting, greedy, war-mongers. After all, they support the military commitments around the world. Further socio-economics look at the labor components of ship building and operations as part of the fly-over, deplorable, unwashed, while what is important is fostering more political scientists and "_____-studies" graduates.

[@argtv1007]

Again Sir, I hope you have forgiven me for my attempt at teasing you. Much enjoy and benefit from watching your vids. Thanks

[@youreckonso]

Interesting how mass movement of illegals, whether from Central America or more recently Afghanistan, show just how many people can be transported in to the USA by airplanes, rather than ships, so Biden could avoid crossing our borders. This shows what can be done with just airplanes. Unions have hurt a lot of things in this country, as power corrupts, and the answer is not easy, except for regulations. Tariffs come to mind as an equalizer, and the role bribery has played to hurt America in big money for those in charge, without proper oversight. So the answer is better oversight in a nutshell. NUTS!

[@markstahovic9226]

The decline of the merchant Mariner ua cause it didn't pay u can work at home an make more so why go to sea what a joke 😂😂😂😂

[@donalddodson7365]

Thank you, Prof. Sal. Watched your ~4/15 "Better Ask Sal" and followed your link to this "oldy but goody." To paraphrase my late father, "You can lead, drag or push a jack-ass [politicians] to water [reality], but you cannot get them to drink [e.g. say 'no' to lobbyists & think]!" 🤯🫡