This week, lawmakers, union leaders, and shipyard executives crowded a Capitol Hill press conference to renew their push for the most ambitious maritime legislation in a generation: the SHIPS for America Act (S.1541 / H.R.3151). This legislation has direct implications for vessel operators, offshore contractors, cargo interests, and the workers who keep it all moving.
Reps. John Garamendi and Trent Kelly urged Congress to act on what was described as rare political momentum behind maritime policy.
“We need to take decisive steps and get this done,” Kelly said, pressing for passage of the legislation.
Garamendi, ranking member of the House Armed Services Readiness Subcommittee and a co-author of the bill, stated support for maritime revitalization has increased over the past year as concerns mount over U.S. shipbuilding and cargo industry decline, as well as China’s industrial dominance.
How did we get here?
After World War II, the United States controlled roughly 60% of the world’s merchant tonnage. Then, in 1981, the Reagan administration ended the federal subsidy program that had offset the cost difference between U.S. and foreign shipbuilding. Commercial shipbuilding essentially collapsed overnight.
China ran a very different playbook. Between 2006 and 2013, Beijing poured approximately $91 billion in subsidies into its shipbuilding sector, compared to $1.5 billion from the United States over the same period. Today, China builds over 1,700 large oceangoing vessels annually. The United States builds fewer than five. We’ve gone from first in the world to nineteenth.
“Fewer than 100 U.S.-flagged vessels operate in international commerce today. China has roughly 5,500.”
What does the SHIPS Act actually do?
The Shipbuilding and Harbor Infrastructure for Prosperity and Security for America (SHIPS) Act was first introduced in December 2024, then reintroduced in the 119th Congress in April 2025. The Senate companion bill (S.1541) proposes a $20 billion Maritime Security Trust Fund spanning 2026–2035. In plain terms, the legislation would:
- Establish a Maritime Security Board, to be coordinated by a new White House Maritime Security Advisor;
- Create a Strategic Commercial Fleet program to expand U.S.-flagged vessels in international trade;
- Authorize $150 million to $2.1 billion to support vessel acquisition and operation for national defense;
- Invest in workforce development to recruit, train, and retain American mariners and shipyard workers; and
- Strengthen domestic supply chains and port competitiveness.
Is Congress serious about passing SHIPS for America?
The bill has built momentum, attracting 117 cosponsors across both parties in the House. The newly-launched USA Shipbuilding Coalition (a labor-management alliance) is the broadest coalition around maritime industrial policy in decades, according to its organizers. The 600,000-member International Association of Machinists and Aerospace Workers has reaffirmed support, joining the AFL-CIO, United Steelworkers, IBEW, and the Boilermakers.
The Trump administration has added its weight as well, releasing a comprehensive Maritime Action Plan in February 2026 and explicitly endorsing the SHIPS Act framework. Legal analysts at Holland & Knight have noted the bill likely has sufficient votes to pass both chambers if leadership brings it to the floor.
What does this mean for you?
For vessel operators, a Strategic Commercial Fleet program means potential new business for those willing to sail under the U.S. flag. The proposed $20 billion trust fund creates financing mechanisms for vessel acquisition that simply do not exist today.
For cargo interests, expanded cargo preference laws would require more government-related cargo to move on U.S.-flag ships. If your supply chain touches government cargo or federally financed exports, this matters to your contracts now and your planning for the future.
For Gulf Coast shipbuilding and repair yards, the bill is the most significant potential demand signal in a generation. Tax incentives under the companion Building Ships in America Act (including a U.S. vessel investment credit and maritime prosperity zones) could materially change the economics of domestic vessel construction.
The Bigger Picture
The SHIPS Act won’t restore American maritime dominance overnight. Its own sponsors acknowledge that rebuilding this capacity will take decades and tens of billions of dollars. But it is, finally, a serious attempt to reverse long-term stagnation. In the meantime, I will be following this bill and will keep you updated here as things develop.
We at the Herd Law Firm are proud to fight for seamen, maritime workers and passengers in all types of personal injury and death claims. As maritime personal injury attorneys (and sailors ourselves!) located in northwest Houston, we never waver in our commitment to help these maritime workers, passengers, and their families when they are injured or mistreated.
Sources
1. gCaptain, “We Need to Get This Done,” April 23, 2026 — gcaptain.com
2. The Maritime Executive, “USA Shipbuilding Coalition,” April 22, 2026 — maritime-executive.com
3. Holland & Knight, “White House Releases America’s Maritime Action Plan,” February 25, 2026 — hklaw.com
4. IAM Union, “IAM Reaffirms Support for SHIPS for America Act,” April 22, 2026 — goiam.org
5. Congress.gov, S.1541 – SHIPS for America Act of 2025
6. Coalition for a Prosperous America, “Growing Crisis for American Shipbuilding,” October 2025 — prosperousamerica.org
7. Sasakawa Peace Foundation, “Make Shipbuilding Great Again?” 2025 — spf.org
8. Jones Walker LLP, “Update on the SHIPS for America Act,” June 2025 — joneswalker.com