Why Hardly any US Flags on SuperYachts?

[@JimmyJinIA]

I like the informal 'chat' format. Love your stuff. I'll never own one or be lucky enough to embark on a voyage with one. But I really enjoy your channel.

[@esdeekay4344]

Where other channels show how it is to live, work or have fun on a yacht, this channel goes deeper into various subjects. I like it's educational and informative style. Thank You and until the next video.

[@puzzler46]

Thanks for the explanation, it now makes sense to me why billionaires who live in the US don't fly our flag and I am not all that surprised that we have different rules (just look at our governing bodies right now). I really enjoy all your videos, thanks for posting them.

[@thefrener794]

I guess we all know why the US are careful who can fly their flag.

[@Jacob-W-5570]

Actually that crew requirement (all us on us flag) is the reason why us commercial shipping is basically dead.

[@michaelsommers2356]

Which is ironic, since the purpose of the act was to protect US shipping.

[@justinaubin5174]

Also the U.S. Built requirement. U.S. vessels take many far longer to be built for exorbitantly higher prices when compared to vessels made overseas with newer technology.

[@jsphfalcon]

Also other countries are subsidizing theirs. In fact this is starting to happen in aviation too.

[@helibob2367]

As an American working on a yacht, I seldom ran into other American crew members. But that is one of the great things about working on a yacht, you get to meet really great people from all over the world. Sweet Riva!

[@oa127]

Where would Americans go to begin training other than Navy?

[@zf4hp24]

@@oa127 Various merchant marine academies here in the U.S. The U.S. Merchant Marine Academy is in Kings Point, New York. In my state, California, we have a first rate academy at Cal Maritime in Vallejo near San Francisco. It's part of the Cal State University system.

[@wvwombat4866]

@@oa127 as a retired navy officer and a graduate of a merchant marine school (NY Maritime); and a former yacht captain, your best bet is to google yacht training and fort lauderdaie. There are several companies offering training that is recognized by the UK . You’ll need STCW training or RYA Yachtmaster Oceans, or both/more. Try MPT and Bluewater. Check their websites.

[@blewyd]

Thanks for explaining this so well while still making it simple for viewers with little Yachting knowledge. Always curious about this and always tried to research and got very confused.

[@Rock_Bill_Kaa]

Thanks for the video. I would also love to know more about naming ships and renaming them when owners switch.

[@charliem962]

Yes, that's really interesting. Do owners keep the name, or do the buyers just want their own choice of name? It seems a shame to change the name of a famous yacht.

[@bisonbro7]

Naming a vessel is owner's choice. Not much to it really. Some owners like Usmanov prefer to retain the name for their newest yacht, while some dont. As long as there isn't another vessel on the flag register with the same name, the owner is good to name it as they wish.

[@edferculo8887]

Always a great and informative and entertaining video. I am a 35 year fishing boat owner operator and you have taught me so much. Keep on making these great videos. Still have so much to learn. Paca Paca

[@chriskeenan1]

Thanks for explaining that so well. I always wondered about the flags.

[@adolf-8834]

Bow flag represents the area you are visiting.

[@garybarnes3746]

Great video as always. Your experience and knowledge make this a stand out channel.

[@jec1ny]

Why so few US flagged yachts? * The Jones Act * US labor laws * US immigration laws (for non US crew) * US safety regulations * US liability laws

[@grondhero]

* US taxes, also.

[@jec1ny]

@@grondhero Good point.

[@RodneyLenker]

You can not go to Cuba.

[@2011blueman]

@@RodneyLenker Cuba is nice, but for a super yacht Cuba isn't a great destination.

[@zf4hp24]

The Jones Act is still the biggest impediment, since it requires a U.S. flagged vessel be built in the U.S. There are exceptions, but they did require an Act of Congress (seriously) to exempt a foreign-built vessel from joining the U.S. registry. One of the most notable U.S. flagged megayacht, *Limitless*, was built by Lurssen in Germany, but thanks to Section 1121 of the Coast Guard Authorization Act of 1996, was specifically exempted and reclassified as a 300 gross ton vessel, even though in reality it exceeded 2,000 GT. A lot of political hoops to jump through, but I admire the owner for his insistence on flying the Stars and Stripes early with such a beautiful and visible vessel. The recently enacted Small Vessel Waiver program offers the same foreign-built exemption that wasn't available back in 1996. About time. Also, a U.S. flagged vessel is subject to state one-time sales and annual use, registration and property taxes. Rhode Island, as one extreme example, levies no sales tax and only charges $310 annually for registration for large yachts and allows non-residents (remember John Kerry?) to register their boats in-state. Compare that with California and their near 10% sales tax and 1.1% annual property tax rates. You'd have to be insane to homeport your $100M megayacht anywhere in California. With all the pain that surrounds getting onto the U.S. registry, you do get some benefits: Ostensible protection by the U.S. Navy and Coast Guard worldwide. Plus you can freely move between U.S. ports without paperwork.

[@jefflanton5617]

I get these laws are ment for safety but it just sounds like there charging yacht owners for anything they can.

[@HorizonsleatherBlogspot2012]

It's just criminal government doing what they do best.

[@hxhdfjifzirstc894]

@@HorizonsleatherBlogspot2012 ORGANIZED CRIME SYNDICATE

[@Grimbach]

"laws are ment for safety..." They never are.

[@DM-iw2qt]

I agree over charging too many fees

[@martin3203]

Thanks for your work, always informative.

[@rspearsonyt]

thank you, for your simple explanation of an often very complex set of rules and regs in place for yacht ownership

[@SergeiBoy]

You answer questions to topics I have not thought to ask. Great videos . Thank you

[@cggage]

Very interesting! I've always wondered why this is the case. I suspected it had to do with taxes, but I was not aware of all the other factors.

[@captainkidd1234]

It’s not how big your Riva is, it’s how you enjoy it ! 😂

[@damianmathis7083]

Sorry man size matters. The motion of the ocean does matter but it takes a long time to get to China in a rowboat

[@hxhdfjifzirstc894]

I like mine baked in butter and squeeze a lemon on it. With potatoes.

[@johngault8368]

Well done again. Topics covered from Life-Health-Safety to billionaires filching on taxes, and all leads to the flagging, fascinating as usual. Almost went to Strathclyde, thought about marine architecture but took another path. Design is a creative challenge but always comes back to code and engineering. There again that is why coolest architecture is often not in the US.

[@TheAtma50]

Very interesting & informative, I didn't know there was so much to it. Stay Safe !!

[@frankv4271]

Very interesting, great as usual, keep up the great work.

[@philiphannum4211]

Very well done and very informative. Thank you for making it.

[@chrisg1234fly]

Great video, really interesting. If only i'd known about this career sooner!!

[@lilacscentedfushias1852]

I found your channel because of the war in Ukraine, we have family there so we don’t take more of an interest in the topic. So I watched a couple of videos about the boats being seized. Then off I went down the rabbit hole…a click here, a click there and I was fascinated! So much information about a subject I didn’t even know existed. It definitely appeals to the mild autistic spectrum side of me 😀 It’s also lovely to see nice scenery with sunshine and beautiful clear blue skies while I’m home in the uk in the cold. I have indulged in your videos while it snowed 😂 I almost just closed the curtains and pretended that it wasn’t really snowing 😂

[@kellingtonlink956]

Thanks for a well thought out and thorough answer.

[@veronicaalessandrello1022]

Interesting! Your channel is appreciated. Nothing better than to be clued-up when you seat at the marina’s terraces mesmerising those Architecrural and engineering masterpieces ⭐️⭐️⭐️⭐️⭐️

[@dwightstjohn6927]

We have Crescent Yachts and other builders in the Vancouver area of BC, Canada. Most of the resident yachts are registered in the British Virgin Islands.

[@4citizenkaren]

Your Utubes are fascinating. I'm a land bound NYC licensed Tour Guide and information maven. Started watching because of Russian boat arrests. Now.. I'm hooked on your easy breakdowns of industry facts and figures. BRAVO. Y U

[@peggyblairjr6564]

Hi. I am a new subscriber to your channel ...it is well done and I enjoy learning from your videos! Very informative and interesting.. Thanks

[@weshallbesaved5137]

Always appreciate your time and information...stay safe..

[@murraybarnes76]

Thanks for that interesting information... I have a couple of questions not related to flags though... the first one is about moving alcohol around the world on a yacht for example if you are in Europe and have a substantial wine cellar, sprits etc and move to the US (or anywhere else) do you have to get rid of it all before going from country to country or do you have to pay import taxes on what you have with you etc... the other one is about growing food onboard... say there was a hydroponics room where fresh lettuce and herbs etc were grown... have you ever heard of that and can it be done?

[@cranck07]

The whole tax thing is really difficult. Even smaller vessels inside Europe seems to favor a Malta registration. Not sure if it's the VAT or another added tax deciding it.

[@Crazy_Worlds]

Yes, Malta has the lowest superyacht VAT rate in the EU. So, if you want an EU registered vessel, for instance for Mediterranean charter, that’s the place to go.

[@ryanwall9229]

I currently work on the M/V Pride of America. Per US law up to 25% of the crew is permissible to be NRAC (non-resident alien crew). We only have approximately 900 crew in full operation. In the early days, with three ships, we did have problems finding enough crew. Though major cause for the reduction to one ship was because of supply/demand. We had too much for the demand for the Hawaiian market. Aside from this unfortunate mess of COVID-19, 1 or 2 midsize US flag ships would meet the normal demand for this market. Staying in the Hawaiian islands for a week is preferred to spending a week transiting from Mexico to do less.

[@allenwinston9225]

Thank you for your post. The Jones act requires the vessel to be made in the US for new vessels. If vessel is over 3 years old it can apply for an exemption. Is your vessel over 3 years old?

[@1Giuseppe007]

Thank you so much for the super great information you provide !!!

[@judge4all]

Well done … very informative. Keep up the good work/

[@redwolfexr]

Yes, the one US flagged ship is due to the Jones Act that does not allow foreign ships to "trade" in US routes. (if you ever noticed -- ALL cruises ALWAYS have a foreign port of call, like Vancouver or Ensenada or Bahamas) en.wikipedia.org/wiki/Merchant_Marine_Act_of_1920 The US flagged ship is out in the Hawaiian chain and there isn't a convenient foreign port in range or they wouldn't be flagged US. It doesn't actually have to be 100% US citizens as crew, but the Captain must be American and either 50 or 75% of the rest of the crew. (can't remember) US minimum wages, workplace rules, ect. Plus USCGs rather strict commercial ship rules. It is an expensive ship compared to most others. For obvious reasons.

[@dnmurphy48]

Very interesting and a model of clarity. Enjoyed that.

[@kevinarmstrong3125]

Noticed the Riva Immediately and wondered where you got it............They remind me of my childhood when we would holiday on lake Garda in the 60's

[@xs10z]

Superyacht "Usher"... 481 tons... hailing port is Miami and U.S. flagged. Currently moored in Annapolis... made me happy to see her there!

[@YachtReport]

Yes as I said in the video you don’t see many and offered the reason why. But since 2018 there has been a way forward for people who want to register their yachts in the US.

[@Secretsauceforsuccess]

FYI - Ive noticed super yacht NAIA has been anchored in front of the Andaz Hotel on the Papagayo peninsula Costa Rica for the last 4 weeks. Not in the marina but just anchored off shore.

[@YachtReport]

Most likely boss is onboard. Look for tenders in the water and maybe a helicopter onboard.

[@noelht1]

Enjoyed this vid. One of the most informative. Good work

[@johnmcguire7435]

Thanx learned alott n enjoy how u explain everything so calmly n very understanding of n explaining! Was so easy to understand u r my favorite to explain u r very notaligable n no what u r telling us thanx

[@CAUSELESSREBEL]

Very interesting subject. You answered a lot of questions that had come to mind. Another question I had...what is the story about yachts that fly the White Ensign? Thanks for another well done video.

[@kenvischi1047]

If i'm not wrong British royals and people who have been knighted can fly it

[@colbr6733]

Isn't that the Royal Yacht Squadron?

[@kenvischi1047]

@@colbr6733 yes

[@colbr6733]

I may be wrong. If so please correct me. Even ordinary Knights can't fly the white ensign. You have to be invited to be a member of the Royal Yacht Squadron.

[@kenvischi1047]

@@colbr6733 i have to say i am not an expert but i think you are right as for example neither Sir Jim Ratcliffe's nor Philip Green's yachts fly it

[@geezzzwdf]

I like the certifications and the levels. I would be interested in learning about that ....well also because I like puzzels and i still have a dew unfinished "puzzels" concerning some historic shipwrecks that i hope to better understand in the future. Thank you for concidering my opinion. C&E*Ca.USA

[@jasongold708]

Leslie Wexford of Victoria Secret fame who owns m/y Limitless which is 3000GT is U.S. flagged. He had to go through an act of Congress in 1997 to get it registered in the U.S. I believe his yacht will always remain the largest yacht registered in the U.S. It's 96.25 meters.

[@danielbenia2145]

eSysman thank you so much for this video. Im STCW Chief Engineer Unimited and to be honest i didnt know a lot of thing that you very well explains in this video. I have some questions but i want to watch all your videos before ask. Thank you so much.

[@qmmo]

Confused . . . . does the ship built in Germany for instance just have to sail to Norway on it's maiden or does it have to register to somewhere favourable while there? Is docking just there enough? In anticipation . . . . 🤔

[@greggeorge3638]

As always, very informative. This is something about which I have often wondered. Thanks!

[@DSjockey]

Thanks for covering that, I had always wondered

[@jase1911]

Excellent video just curious if you could do another video based off your knowledge of the differences in fuel prices around the world (what are the best prices) with route choices and why they would choose particular places over others to sail to

[@finefloor]

Heads up, the Y3 chief limitations are 500gt-3000Kw not 3000gt-3000Kw. Your posts are good, keep at it. When people ask me what its like to work on a super yacht I send them a link to one of your vlogs. Cheers.

[@erinschlam1854]

Yeah I learned about the taxes and hiring the crew and all of that stuff the hard way. Love you channel by the way, just stumbled onto it a few weeks ago

[@jameshampton8730]

Very interesting. I hope you do the follow up video. Very informative. Thanks

[@carolineorner]

Congratulations on your Riva. It’s beautiful. 😍

[@dariusscruggs187]

Superb job!!!! Thx for the info.

[@richmiller2501]

This is a great channel !!!

[@dorflonnigan4413]

Great video, always wondered about the flags, Was going to ask about the model on the window sill, but you answered it. Love that model

[@johndunn36]

So very interesting on the tax laws and flags of confidence which I had heard about but not understood fully. Thank you for your very interesting insight of the super yacht world.

[@1zcott]

love the channel!

[@bjjrhino]

Thank you a very informative video.

[@ArnoSchmidt70]

Does the salery on a superyacht only has to do with qualification or also with where the people come from?

[@grondhero]

"Generally speaking," it has to do with qualifications and the size of the yacht. The people can be from anywhere, as long as they are certified. I _think_ speaking English (as it's currently the international language) is a requirement as well.

[@skiingfast1]

He mentioned in a recent video something about Phillipinos being used because they are paid less. The reason NCL can't staff Americans is because the wages are higher in the US so it doesn't look like a good job to Americans. Where as the wages in Peru are lower and they look great on a cruise ship.

[@grondhero]

@@skiingfast1 The cruise lines pay _much_ less than yachts pay. It's an apples to oranges comparison. Cruise line pay is less than what Americans are accustomed to and it's much more work without breaks (such as six weeks with no days off). For those living in third world countries, the pay is extraordinary. Yacht work is generally much tougher (guests are treated with what's referred to as seven star treatment), but the crew can also receive $10,000+ tips for a week's charter, as well as their monthly pay (which can be about $1-2,000) and is tax-free. They can work (I think) four weeks straight (maybe six) before being required a mandatory week break. So, people from first world countries join the yachtee life as well.

[@abassplayer4life]

Regarding emergencies in international waters, is the flag country responsible for rescue or is it the nearest country to the mayday call?

[@abassplayer4life]

@@liamgrech1 Thank you.

[@kriseriksen4737]

@@liamgrech1 EG: Australia is responsible for 1/9th of the worlds S&R areas.

[@wotrulke5868]

A Beautiful Riva 🚤is it remote controlled or just for display? Great update on yachting 🇰🇾 flags 🇺🇸

[@randy6850]

Thank you, this is very informative.

[@memikell]

If I remember correctly a lot changed in the US when under the Carter administration the tax laws were changed re large yachts. As a result the yacht building industry was hit hard as many owners decided to buy overseas built boats.

[@davidherholdt9579]

Thank you for your informative video. Our family are looking to purchase a vessel that has 10 cabins and is a tad over 2000GT. We asked about registering it in "Malta" but were advised not to. Could you explain why as we weren't really given an reason, just.."We strongly advise not too..!"

[@jimprovan8866]

Thanks for the explanation bloke, very informative. You are very knowledgable for a Scotsman.

[@jinksonyou]

That was very educational, thanks for sharing! Cheers from Canada eh!

[@kaceydillin7367]

8:40 Hi. I worked for an American flagged cruise ship company for 3 years. You hinted about why American flagged ships are rare. I can shed some more light on this, which I think will apply to yachts. As an American flagged ship, it must be crewed by Americans. This also includes US labor laws, which have a much higher standard than most other places, such as Panama, Cayman Islands etc. This is why, on big cruise companies, they are employed by people from SE Asia, South America, Eastern Europe. The big cruise ship companies, can pay less than an American flagged ship, but still pay high enough to draw people from these regions. Also note that because of maritime law, these workers have what is essentially an endangered servitude sort of relationship. Say you are from the Philippines. You are a cook. You will work 6 days a week, 10 hours a day for 6 month contract. The company will hire you, and have you sign paperwork in say Miami, basically somewhere far from home. If the company terminates you, they are only obligated to get you to where you signed the paperwork, in this case Miami. So for the terminated employee, Miami to Philippines is on you, which is expensive and could be months of pay. Knowing this, “foreign” crew are heavily discouraged of quitting and not completing their contract. Lastly, if a ship is not American flagged, like all the big cruise ship company ships are, there are transportation regulations they must follow. Basically one of them, is that they are not allowed to start, end cruises in a US port. For Alaska for example, this is why non US flagged ships, start, end Alaskan cruises in Vancouver B.C. This is to prohibit non US flagged companies, from competing with US flagged transportation companies.

[@tomshourd2601]

Very interesting and well explained, thanks. Like your yacht, small but nice 👌

[@robmurphy6077]

Thanks again for a great blog ,,, from a very wet South Wales

[@jeffwells9756]

Interested in this very much so great video, I have also seen super yachts for sale and it states,” not for sale to USA buyers, what does that mean is that a tax issue? Thanks

[@williamscott850]

Mostly, yes. To sell a foreign built yacht in US waters, US import duties would have to be paid.

[@JamesTheCaptain]

If the boat is not U.S. Flagged or a foreign new build American citizens cannot see the boat. But the vessel can be taken to an FTZ (Free Trade Zone) at a marina in the U.S. where anyone can see the boat without it having to leave U.S. Waters.

[@steffenbendixen]

Follow-up question on "dodging COVID19 on your yacht": If you cant go ashore. How long before you get bored and what do you do onboard to avoid it? (Isn't visiting different ports a large bit of the experience). Thanks in advance.

[@johnedwardfreeman2652]

What is your opinion on the Majesty hatch? Thank you

[@samsmith3025]

Do more similar to this presentation style,very informative.

[@dannyallen4357]

Very informative video.

[@skiingfast1]

You have 1 more Riva than I do. I'd love an episode about Rivas. I really don't know much about them, and as you may suspect they are not common in America, sort of like how Europe does not often get Chris Crafts.

[@mrgboy247]

I was watching and listening to this video like I was studying for a test! Lol

[@popsoldboats3406]

Oh crap another test?

[@geirleirvik1478]

On the name of MY Skat, being half Danish recognize that the name has the same meaning as darling/honey in English but I was missing the link. Here is however the connection from Wikipedia: The owner is Charles Simonyi, a former Software Engineer from Microsoft and the fifth space tourist. The yacht is 71 metres (233 ft) long. Simonyi once had a Danish girlfriend who called him skat, literally "treasure", a common term of endearment similar to "honey" in English.

[@YachtReport]

I've talked about this in other videos such as the videos about Skat.

[@steveSmith-pd4st]

Cracking informative video, well done mate.

[@southjerseysound7340]

When I first got in the business there was quite a few, but 20 years later good luck finding one. My old boss and friend was one of the last that I knew of,he is a proud American and kept his flagged in the States on principal. But even he flagged his new yacht offshore. Although he has kept his 87ft Hatteras flagged in the US because they fish a lot of tournaments.

[@smeggy7979]

Another great video...thanks as always...Jealous over the model of the Riva, its a beautiful boat.

[@whiteeagle9554]

What about Canada? I saw one flag in your video the "Old Canada"?

[@mnsignr]

I saw that Riva in the background, and, thought, “ geez he bought himself a model of the Riva, to tell everyone that he now bought himself a Riva!!!” Interesting video of Flags and The Russian couple and their son!!

[@mikehodgins]

Great video, lovely Riva Yacht. Do super yachts have to pay a fee/tax to foreign countries on arrival on top of harbour mooring fees.?

[@agreen778]

Is that a model of the speedboat from Indian Jones 3 behind him? 👍

[@richardkrentz7553]

Very informative. Really enjoy your explanations. Of course the US and other countries have ridiculous tax laws which prevents owners from displaying their country's flag. It's all about money.

[@shawnbrownfield9857]

Like that Chris Craft model you have in the background....I worked for them

[@ah244895]

Very interesting. I knew a lot of this, but your brought it all together. Your more interesting than anything in cable TV.

[@stevelittle8404]

Great episode. Very, very interesting. I love the Riva as well, it looks like an Aquarama.

[@alf970]

Nice video and nice riva yacht :).

[@lknanml]

How do they enforce the maximum guest limit on yachts? What kind of legal troubles will owners find themselves in if they are chronically over the limit? I wouldn't think monetary fines would not be much of a bother to most owners.

[@spencemorgan6338]

Fascinating! Thanks for the interesting explanation. Just one more way tax avoidance changes behavior.

[@jshrawder49]

Very interesting and informative. Thanks for putting that together for us. I worked on a Incat catamaran in Florida that was made on an Indian reservation so we could have an Australian boat in the us and pay little taxes as the Indian reservation was tax free. Now there were some taxes paid somewhere but it was a lot lower for sure.

[@annsheridan12]

I’m a US citizen and have a catamaran sailboat registered in the Bahamas. Because it is far safer from US authorities abuse being foreign registered.

[@thedwightguy]

@@annsheridan12 not any more.

[@annsheridan12]

@@thedwightguy here was my motivation to register my cat In the Bahamas. I’m also a pilot and in one of my flying magazines there was an article that customs wanted to be empowered to SHOOT DOWN suspected drug planes. The author pointed out that they would only be able to shoot down US registered planes and all drug planes would now be foreign registered and customs would end up shooting down dentists lost looking for Key West.

[@jarritos82]

This video was very insightful. Thank you!

[@kcowgirl7840]

When meeting codes counting the number of guests, does that number include the owner (s)?

[@markoutlaw7702]

Great resource! Thank you! Yes please do more about the regulatory conditions that affect Super yacht ownership.

[@samiudsan1742]

it deppend hu u are hu du u know haha

[@andrewaway]

Great vid. Thanks. When I browse used yachts at Yachtshed it often says not for sale to the USA. Why is that.

[@elizabethrogers1152]

I don't care what they say I'm going to 'hire' you Esysman. I'll double whatever your making now. Just hold on,it's going to take me a minute to meet those qualifications 😂. very interesting and informative video!

[@moneyfindersllc6236]

Excellent!! More, Please!! ;-) 👍👍

[@johnsmith2799]

When a superyacht is launched, how long does it have to get out of EU waters to have the tax waived (hours, days, so many kilometers traveled)? How long does it have to be out of EU waters to qualify for the waived tax [Overnight or hours]? How is the proof documented that they were out of EU waters? Is the tax waived completely (so they never have to pay it) or is it a delayed or partial payment?

[@NickLea]

A yacht intended to be exported by the new owner can stay in the EU for up to six months beforehand. VAT (European sales tax) would only become payable if the yacht were permanently returned to the EU at a later date, otherwise there is no VAT to pay. A yacht can later come back and be "temporarily" admitted for up to 18 months without having to pay the tax, but stay one day over that time limit and you'll have to pay the tax.