Merchant Marine

Back to Basics: Restoring the United States Merchant Marine

M/V Maersk Missouri underway in the Mediterranean Sea (photo LT Alex Smith)

M/V Maersk Missouri underway in the Mediterranean Sea (photo LT Alex Smith)

Every 22nd of May, unbeknownst to nearly all Americans, the United States celebrates National Maritime Day. It is a day to celebrate our nation’s rich maritime lineage, cherish our goods delivered by sea-going ships, and remember the importance of our officers and sailors who sail in the far-flung corners of the world. In Washington, D.C., the Department of Transportation held a ceremony at their headquarters. Salutes were smartly rendered and rousing speeches delivered. At the end of the ceremony, eight bells were rung to signify the end of the watch and honor the Merchant Marine.

The next day, Maritime Administration (MARAD) officials went back to regulating one of the most poorly funded (under $500 million annually) and misguided (only one top official is a past merchant mariner) administrations in our nation’s capitol. Since the founding days of our nation to the recent conflicts in the Middle East, the need for a strong militarily-useful and privately-owned U.S. flag merchant marine to protect, strengthen, and enhance our nation’s economic and military security has been clear. In times of peace and war, our U.S. flagged vessels effectively answered our nation’s call and provided unprecedented sealift capability to support our economy.

MARAD

MARAD

According to Rose George in Ninety-Nine Percent of Everything, trade carried by sea has grown fourfold since 1970 and is still growing. Three years ago, 360 commercial ports of the United States received in international goods worth $1.73 trillion. There are more than one hundred thousand ships at sea carrying all of the material we need to live.

Despite the amount of wealth reaching our shores, there are fewer than one hundred oceangoing U.S. flagged ships. Only 1 percent of trade at U.S. ports travels on an American-flagged vessels, and our fleet has declined by 80% since 1951. Less than 2% of all seagoing mariners are women. In a world of progressive ideology, it would seem that the other world – on the sea – is adrift and heading in the wrong direction.

It is seemingly unimaginable that most Americans are ignorant to the world of shipping. Play a game the next time you go out to a restaurant or visit your local coffee shop and see how many items you can count that came from a sea-going vessel.

  • Plates: Made in China, containership
  • T-Shirt on young child: Made in India, containership
  • Chair and table set: Looks expensive, but likely IKEA: containership
  • Gap Jeans: Made in Bangladesh, containership
  • Cell Phone: Made in China, containership
  • Coffee: Beans from Latin America, containership
  • European car parked outside window: German, roll-on roll-off ship
  • Fuel presumed in said European car: Crude from Middle East, tanker
Underway in the Suez Canal (photo LT Alex Smith)

Underway in the Suez Canal (photo LT Alex Smith)

The list is extensive. Better game: what was not brought over by maritime shipping?

Proceedings focuses mostly on developments in the maritime security domain, but a deeper conversation should revolve around the status of our civilian mariners. After all, one of our primary missions as sailors of the U.S. Navy or U.S. Coast Guard is to uphold the umbrella convention as mandated by the United Nations Convention on the Law of the Sea (UNCLOS). Even though the United States has not ratified the convention (we do not like its deep-sea mining stipulations), we uphold its core meaning. Over 300 articles aim to create “a legal order for the seas and oceans which will facilitate international communication, and will promote the peaceful uses of the seas and oceans, the equitable and efficient utilization of their resources, the conservation of their living resources, and the study, protection and preservation of the marine environment.”

Simply put, our maritime security organizations exist to support the global merchant marine and to promote free trade domestically and abroad. But when we lose American flagged vessels and shipyard workers lose their contracts, their income and their wealth of knowledge is lost. For our government – and in particular the Department of Transportation and Department of Defense – this means that an insufficient number of American mariners will no longer be there to support the industry. The next time we need to support a global war, we will have to rely on foreign shipping companies to move U.S. war material abroad.

RECOMMENDATIONS

  • Outside thinking. Fund and stand up an independent, outside think tank that can meet the maritime challenges of the 21st If we do not try and sort out the maritime industry, the stability necessary for U.S. flag companies to attract the investments they need and for maritime labor to recruit and retain the mariner our country needs will simply not be there. Create a long term
  • Bi-Partisan Support. MARAD should continue to lobby and build coalitions to ensure proper funding efforts to build a robust, seagoing merchant marine. If the United States is serious about the declining state of our maritime industry, we must modify existing programs and create new ones that would increase the number of vessels operating under the U.S. flag, the amount of cargo carried by U.S. flag vessels, and the shipboard employment opportunities for licensed and unlicensed merchant mariners.
  • Reward companies that flag their vessels under the United States. Under the auspices of the intricately elusive tool of “flag of convenience,” where ships can fly the flag of a state that has nothing to do with its owner, cargo, crew or route, many shipping companies have chose to dodge taxes and pay mariners less. Consequently, many civilian mariners can’t find work. We should create tax incentives for companies that fly under the American flag and hire more mariners, rather than allow ships that maintain a crew of twenty to reap in the benefits of maritime trade.
  • Subsidize shipbuilding in the United States. In order to compete with South Korea and other major shipbuilding nations that construct vessels on the cheap, we need to craft private-public contracts to allow our shipbuilding to flourish. Explore new ways to meet the capability and capacity to meet the most demanding wartime scenarios that might lie on the horizon.
  • Rethink maritime officer and crew placement. Even though ships are getting considerably larger, crew sizes are getting smaller. Nearly a thousand professional mariners graduate from the US Merchant Marine Academy and state maritime academies each year with no prospective deep-sea job opportunities. Most sea-going accidents occur due to fatigue and most mariners have reported working over 80 hours in a given week. We should expand Military Sealift Command employment so U.S. Naval Reserve / Merchant Marine Reserve can serve on ‘active duty’ in the merchant marine. If this model works, we can incentivize a program in the private sector where larger crews are rewarded with tax breaks for operating safely.

Trade has always traveled and the world will continue to trade in our globalized society. The United States relies on a few VLCCs (Very Large Crude Carriers) to bring in two-thirds of our oil supply every day. Without the assured commercial sea power capability provided by the U.S. flag merchant marine and civilian manpower, we will find ourselves at the mercy of foreign vessels that are owned and operated by foreign interests.

The symbolic ringing of eight bells was superfluous this past National Maritime Day. Through bad policies over the last several decades, we have left the U.S. maritime industry at the whim of Adam Smith’s ‘invisible hand,’ then wondered, what happened to the Merchant Marine? Answer: it was turned over decades ago to the rest of the world.

You have been properly relieved America. Maersk has the watch.

Back To Top