Ranking Members Larsen, Carbajal Statements from Roundtable on U.S. Shipbuilding Industry
Washington, D.C. — The following are opening remarks, as prepared for delivery, from Ranking Member of the House Committee on Transportation and Infrastructure Rick Larsen (D-WA) and Ranking Member of the Subcommittee on Coast Guard and Maritime Transportation Salud Carbajal (D-CA) during today’s roundtable titled, “Reinvigorating the U.S.-Flag Fleet and Shipbuilding Industry.”
Video of Larsen’s and Carbajal’s opening statements are here and here.
More information on the hearing can be found here.
Ranking Member Larsen:
I want to thank the panel for participating today in the roundtable. I have gotten to know many of you over 24 years in Congress, and I am positive that you all, working together, bring some ideas to help us reinvigorate America’s shipbuilding economy.
The U.S. maritime industry generates over $150 billion in annual economic output. It sustains more than 650,000 good-paying jobs. I am proud to support the industry and its contribution to national and economic security.
Unfortunately, certain sectors of the industry have experienced a decline in recent years due to unfair and heavily subsidized foreign competition.
The U.S. maritime industry serves an important role and relies on a critical portfolio of federal programs. Because of the Jones Act, we have American-owned, American-built, and American-crewed vessels serving our domestic commerce. Because of the Maritime Security Program, the Tanker Security Program and cargo preference laws, the Department of Defense can rely on American ships and American mariners to deliver critical cargoes throughout the world.
Because of the Small Shipyard Grant Program and demand generated by the Jones Act, we are able to maintain vital domestic shipbuilding capacity.
Now in recent years, China has invested over $132 billion in its shipping and shipbuilding industries. If we are to remain competitive in our maritime industry, we have to act.
American shipyards and mariners are incredibly capable, and they deserve a level playing field. To provide this, we must ensure full funding for the Maritime Security Program and the Tanker Security Program, expand and ensure full compliance with cargo preference requirements and defeat baseless attacks on the Jones Act.
Further, we have to consider new ways to support the American maritime industry. Ultimately, ships will not be built and operated unless there is cargo to carry.
I look forward to this panel today providing actionable ideas to this Committee on ways to increase the competitiveness of the maritime industry, including ways to increase the availability of cargo.
Ranking Member Carbajal:
Thank you, Chairman Webster, for calling together this roundtable of industry experts to discuss how we can reinvigorate the U.S. maritime industry.
We all know how valuable the maritime industry is to the economy and our national security.
Over the past year, we have had to fight off repeated attacks on the Jones Act—a fundamental pillar of U.S. maritime policy for over a century.
As an avid supporter of the Jones Act, I have helped fight back these challenges because the national security and economic contributions of the maritime industry is simply too significant to remain indifferent.
In California alone, the industry employs more than 51,450 individuals, produces $12.21 billion for the local economy and generates $3.6 billion in worker income. I’m sure that number has only grown in the years since the study was conducted in 2019.
We all have a stake in maintaining and growing a vibrant, diverse, and globally competitive U.S. maritime industry. This was true in the late 18th Century, and it remains true today.
The United States is a great maritime nation. However, to remain so in the future, we must support the U.S. maritime and shipbuilding industry.
American mariners are our greatest assets, and it is imperative we protect them. To maintain a vibrant industry and provide good-paying jobs, we must ensure a culture where sexual assault and harassment do not exist. It is important that the Coast Guard plays a central role in receiving reports, tracking and taking action against bad actors. I’m also glad that the majority of the industry has embraced the new laws to ensure the safety of mariners at sea.
If we work together, I am sure this panel will have new, innovative ideas on reinvigorating U.S. shipping and shipbuilding while growing our mariner pool.
Thank you all for being here. Mr. Chairman, I yield back.
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