US allows foreign ships on domestic routes to cut gasoline prices

On March 19, the administration of US President Donald Trump announced a 60-day waiver of the Jones Act, in an effort to ease shipping costs and curb energy price spikes, Caliber.Az reports, citing Al Jazeera.

The Jones Act requires that vessels transporting goods between US ports be US-owned, US-built, and crewed by Americans. Over the next two months, foreign ships will be allowed to operate on these routes, a move expected to reduce shipping costs and put downward pressure on energy and oil prices.

The US administration has also released 172 million barrels of oil from strategic reserves. This is part of a broader plan to release 400 million barrels in coordination with 32 member countries of the International Energy Agency.

Vice President J.D. Vance emphasised that the measures are temporary and aimed at easing the impact of the crisis in the Strait of Hormuz. “We face a challenging period, but oil and gas prices will eventually return to normal,” he said.

The administration notes that these steps are part of a strategy to stabilise the energy market. However, analysts warn that the effect may be limited.

By Khagan Isayev