Background

The Federal Maritime Commission has initiated an investigation into reports that the government of Spain is denying entry to its ports to certain U.S. vessels. An affirmative finding could lead to remedies such as refusing Spanish vessels entry into U.S. ports and fines of up to $2.3 million per voyage.

The FMC states that it received information in November that Spain has denied entry to certain vessels, including U.S.-flagged vessels participating in the Maritime Security Program. The MSP maintains a fleet of commercially viable, militarily useful merchant ships active in international trade that are available to support Department of Defense sustainment sealift requirements during times of conflict or in other national emergencies. The program also provides the DoD with access to MSP participants’ global intermodal transportation network of terminals, facilities, logistic management services, and U.S. citizen merchant mariners.

The FMC will investigate whether the situation in Spain has created conditions that are unfavorable to shipping in foreign trade, whether in a particular trade or on a particular route or in commerce generally. The FMC notes that it has consistently held that its powers protect not only U.S.-flagged shipping and that foreign governmental actions detrimental to third-flag carriers can create conditions unfavorable to shipping in the U.S. foreign trade.

Container shipping interests, vessel owners, and other interested persons may submit no later than Dec. 26 written comments containing arguments, experiences, and/or data relevant to denials of entry into Spanish ports, specifically when this has occurred, the vessels that have been denied entry, and any reason or reasons given for the denial.

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