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‘‘(4) the Virgin Islands until the President declares by proclamation 
that the coastwise laws apply to the Virgin Islands. 
‘‘§ 55102. Transportation of merchandise 
‘‘(a) DEFINITION.—In this section, the term ‘merchandise’ includes— 
‘‘(1) merchandise owned by the United States Government, a State, 
or a subdivision of a State; and 
‘‘(2) valueless material. 
‘‘(b) REQUIREMENTS.—Except as otherwise provided in this chapter or 
chapter 121 of this title, a vessel may not provide any part of the transpor-
tation of merchandise by water, or by land and water, between points in 
the United States to which the coastwise laws apply, either directly or via 
a foreign port, unless the vessel— 
‘‘(1) is wholly owned by citizens of the United States for purposes 
of engaging in the coastwise trade; and 
‘‘(2) has been issued a certificate of documentation with a coastwise 
endorsement under chapter 121 or is exempt from documentation but 
would otherwise be eligible for such a certificate and endorsement. 
‘‘(c) PENALTY.—Merchandise transported in violation of subsection (b) is 
liable to seizure by and forfeiture to the Government. Alternatively, an 
amount equal to the value of the merchandise (as determined by the Sec-
retary of Homeland Security) or the actual cost of the transportation, 
whichever is greater, may be recovered from any person transporting the 
merchandise or causing the merchandise to be transported. 
‘‘§ 55103. Transportation of passengers 
‘‘(a) IN GENERAL.—Except as otherwise provided in this chapter or chap-
ter 121 of this title, a vessel may not transport passengers between ports 
or places in the United States to which the coastwise laws apply, either di-
rectly or via a foreign port, unless the vessel— 
‘‘(1) is wholly owned by citizens of the United States for purposes 
of engaging in the coastwise trade; and 
‘‘(2) has been issued a certificate of documentation with a coastwise 
endorsement under chapter 121 or is exempt from documentation but 
would otherwise be eligible for such a certificate and endorsement. 
‘‘(b) PENALTY.—The penalty for violating subsection (a) is $300 for each 
passenger transported and landed. 
‘‘§ 55104. Transportation of passengers between Puerto Rico 
and other ports in the United States 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) CERTIFICATE.—The term ‘certificate’ means a certificate of fi-
nancial responsibility for indemnification of passengers for nonperform-
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ance of transportation issued by the Federal Maritime Commission 
under section 44102 of this title. 
‘‘(2) PASSENGER VESSEL.—The term ‘passenger vessel’ means a ves-
sel of similar size, or offering similar service, as any other vessel trans-
porting passengers under subsection (b). 
‘‘(b) EXEMPTION.—Except as otherwise provided in this section, a vessel 
not qualified to engage in the coastwise trade may transport passengers be-
tween a port in Puerto Rico and another port in the United States. 
‘‘(c) EXPIRATION OF EXEMPTION.— 
‘‘(1) WHEN COASTWISE-QUALIFIED VESSEL OFFERING SERVICE.—On 
a showing to the Secretary of the department in which the Coast Guard 
is operating, by the vessel owner or charterer, that a United States 
passenger vessel qualified to engage in the coastwise trade is offering 
or advertising passenger service between a port in Puerto Rico and an-
other port in the United States pursuant to a certificate, the Secretary 
shall notify the owner or operator of each vessel transporting pas-
sengers under subsection (b) to terminate that transportation within 
270 days after the Secretary’s notification. Except as provided in sub-
section (d), the authority to transport passengers under subsection (b) 
expires at the end of that 270-day period. 
‘‘(2) WHEN
NON-COASTWISE-QUALIFIED
VESSEL
OFFERING
SERV-
ICE.—On a showing to the Secretary, by the vessel owner or charterer, 
that a United States passenger vessel not qualified to engage in the 
coastwise trade is offering or advertising passenger service between a 
port in Puerto Rico and another port in the United States pursuant 
to a certificate, the Secretary shall notify the owner or operator of each 
foreign vessel transporting passengers under subsection (b) to termi-
nate that transportation within 270 days after the Secretary’s notifica-
tion. Except as provided in subsection (d), the authority of a foreign 
vessel to transport passengers under subsection (b) expires at the end 
of that 270-day period. 
‘‘(d) DELAYING EXPIRATION.—If the vessel offering or advertising the 
service described in subsection (c) has not begun that service within 270 
days after the Secretary’s notification, the expiration provided by subsection 
(c) is delayed until 90 days after the vessel offering or advertising the serv-
ice begins that service. 
‘‘(e) REINSTATEMENT OF EXEMPTION.—If the Secretary finds that the 
service on which an expiration was based is no longer available, the expired 
authority to transport passengers is reinstated.
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‘‘§ 55105. Transportation of hazardous waste 
‘‘(a) IN GENERAL.—The transportation of hazardous waste, as defined in 
section 1004(5) of the Resource Conservation and Recovery Act of 1976 (42 
U.S.C. 6903(5)), from a point in the United States to sea for incineration 
is deemed to be transportation of merchandise under section 55102 of this 
title. 
‘‘(b) NONAPPLICATION TO CERTAIN FOREIGN VESSELS.— 
‘‘(1) IN GENERAL.—Subsection (a) does not apply to transportation 
performed by a foreign ocean incineration vessel owned by or under 
construction on May 1, 1982, for a corporation wholly owned by citi-
zens of the United States under section 50501(a)–(c) of this title. 
‘‘(2) STANDARDS
FOR
INCINERATION
EQUIPMENT.—Incineration 
equipment on a vessel described in paragraph (1) must meet standards 
of the Coast Guard and the Environmental Protection Agency. 
‘‘(3) INSPECTION.—A vessel described in paragraph (1) shall be in-
spected by the Coast Guard, regardless of whether inspected by the na-
tion in which it is registered. The inspection shall be the same as would 
be required of a vessel of the United States, including drydock inspec-
tion and internal examination of tanks and void spaces. The inspection 
may be made concurrently with an inspection by that nation or within 
one year after the initial issuance or next scheduled issuance of the 
Safety of Life at Sea Safety Construction Certificate. In making the 
inspection, the Coast Guard shall refer to the condition of the hull and 
superstructure established by the initial foreign certification as the 
basis for evaluating the current condition of the hull and super-
structure. The Coast Guard shall allow the substitution of fittings, ma-
terial, apparatus, equipment, and appliances different from those re-
quired for vessels of the United States if satisfied they are equivalent 
and at least as effective as those required for vessels of the United 
States. A satisfactory inspection under this paragraph shall be certified 
in writing by the Secretary of the department in which the Coast 
Guard is operating. 
‘‘(c) EFFECTIVE DATE.—Subsection (a) is not effective until an appro-
priate vessel has been built and documented under chapter 121 of this title. 
‘‘§ 55106. Merchandise transferred between barges 
‘‘(a) IN GENERAL.—On terms and conditions the Secretary of Homeland 
Security may prescribe by regulation, the Secretary may suspend the appli-
cation of section 55102 of this title to the transportation of merchandise 
that is transferred, when moving in the foreign trade of the United States, 
from a barge certified by the owner or operator as designed specifically for 
carriage on a vessel and carried regularly on a vessel in foreign trade, to
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another such barge owned or leased by the same owner or operator. How-
ever, this subsection does not apply to transportation between the conti-
nental United States and noncontiguous States, territories, or possessions 
to which the coastwise laws apply. 
‘‘(b) RECIPROCITY REQUIREMENT FOR FOREIGN VESSELS.—This section 
applies to a vessel of foreign registry only if the Secretary of Homeland Se-
curity finds, based on information from the Secretary of State, that the gov-
ernment of the nation of registry extends reciprocal privileges to vessels of 
the United States. 
‘‘§ 55107. Empty cargo containers and barges 
‘‘(a) IN GENERAL.—Subject to subsections (b) and (c), and on terms and 
conditions the Secretary of Homeland Security may prescribe by regulation, 
section 55102 of this title does not apply to the transportation of— 
‘‘(1) empty cargo vans, empty lift vans, or empty shipping tanks; 
‘‘(2) equipment for use with cargo vans, lift vans, or shipping tanks; 
‘‘(3) empty barges specifically designed for carriage aboard a vessel 
and equipment (except propulsion equipment) for use with those 
barges; 
‘‘(4) empty instruments for international traffic exempted from the 
customs laws under section 322(a) of the Tariff Act of 1930 (19 
U.S.C. 1322(a)); or 
‘‘(5) stevedoring equipment and material. 
‘‘(b) CONDITIONS.— 
‘‘(1) PARAGRAPHS
(1)–(4).—Paragraphs (1)–(4) of subsection (a) 
apply only if the items named are owned or leased by the owner or op-
erator of the vessel and transported for its use in handling its cargo 
in foreign trade. 
‘‘(2) PARAGRAPH (5).—Paragraph (5) of subsection (a) applies only 
if the items named are— 
‘‘(A) owned or leased by the owner or operator of the vessel or 
by the stevedoring company having the contract for the loading or 
unloading of the vessel; and 
‘‘(B) transported without charge for use in the handling of 
cargo in foreign trade. 
‘‘(c) RECIPROCITY REQUIREMENT FOR FOREIGN VESSELS.—This section 
applies to a vessel of foreign registry only if the Secretary of Homeland Se-
curity finds, based on information from the Secretary of State, that the gov-
ernment of the nation of registry extends reciprocal privileges to vessels of 
the United States. 
‘‘§ 55108. Platform jackets 
‘‘(a) DEFINITIONS.—In this section:
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‘‘(1) COASTWISE QUALIFIED VESSEL.—The term ‘coastwise qualified 
vessel’ means a vessel that has been issued a certificate of documenta-
tion with a coastwise endorsement under chapter 121 of this title. 
‘‘(2) PLATFORM JACKET.—The term ‘platform jacket’ refers to a 
single physical component and includes any type of offshore explo-
ration, development, or production structure or component thereof, in-
cluding— 
‘‘(A) platform jackets; 
‘‘(B) tension leg or SPAR platform superstructures (including 
the deck, drilling rig and support utilities, and supporting struc-
ture); 
‘‘(C) hull (including vertical legs and connecting pontoons or 
vertical cylinder); 
‘‘(D) tower and base sections of a platform jacket; 
‘‘(E) jacket structures; and 
‘‘(F) deck modules (known as ‘topsides’). 
‘‘(b) AUTHORIZED TRANSPORTATION.—Section 55102 of this title does 
not apply to the transportation of a platform jacket in or on a non-coastwise 
qualified launch barge between two points in the United States, at one of 
which there is an installation or other device within the meaning of section 
4(a) of the Outer Continental Shelf Lands Act (43 U.S.C. 1333(a)), if— 
‘‘(1) the launch barge was built before December 31, 2000, and has 
a launch capacity of at least 12,000 long tons; and 
‘‘(2) the Secretary of Transportation makes a determination, in ac-
cordance with procedures established under subsection (c), that a suit-
able coastwise qualified vessel is not available for use in the transpor-
tation and, if needed, launch or installation of a platform jacket. 
‘‘(c) PROCEDURES TO MAXIMIZE USE OF COASTWISE QUALIFIED VES-
SELS.—The Secretary of Transportation shall adopt procedures imple-
menting this section that are reasonably designed to provide timely informa-
tion so as to maximize the use of coastwise qualified vessels. The procedures 
shall, among other things, establish that for purposes of this section, a 
coastwise qualified vessel shall be deemed to be not available only if— 
‘‘(1) on application by an owner or operator for the use of a non- 
coastwise qualified launch barge for transportation of a platform jacket 
under this section (which application shall include all relevant informa-
tion, including engineering details and timing requirements), the Sec-
retary promptly publishes a notice in the Federal Register— 
‘‘(A) describing the project and the platform jacket involved;
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‘‘(B) advising that all relevant information reasonably needed to 
assess the transportation requirements for the platform jacket will 
be made available to interested parties on request; and 
‘‘(C) requesting that information on the availability of coastwise 
qualified vessels be submitted within 30 days after publication of 
that notice; and 
‘‘(2)(A) no information is submitted to the Secretary within that 30 
day period; or 
‘‘(B) the owner or operator of a coastwise qualified vessel submits 
information to the Secretary asserting that the owner or operator has 
a suitable coastwise qualified vessel available for the transportation, but 
the Secretary determines, within 90 days after the notice is first pub-
lished, that the coastwise qualified vessel is not suitable or reasonably 
available for the transportation. 
‘‘§ 55109. Dredging 
‘‘(a) IN GENERAL.—Except as provided in subsection (b), a vessel may 
engage in dredging in the navigable waters of the United States only if— 
‘‘(1) the vessel is wholly owned by citizens of the United States for 
purposes of engaging in the coastwise trade; 
‘‘(2) the charterer, if any, is a citizen of the United States for pur-
poses of engaging in the coastwise trade; and 
‘‘(3) the vessel has been issued a certificate of documentation with 
a coastwise endorsement under chapter 121 of this title or is exempt 
from documentation but would otherwise be eligible for such a certifi-
cate and endorsement. 
‘‘(b) DREDGING OF GOLD IN ALASKA.—A documented vessel with a reg-
istry endorsement may engage in the dredging of gold in Alaska. 
‘‘(c) PENALTY.—If a vessel is operated in knowing violation of this sec-
tion, the vessel and its equipment are liable to seizure by and forfeiture to 
the United States Government. 
‘‘§ 55110. Transportation of dredged material 
‘‘Section 55102 of this title applies to the transportation of valueless ma-
terial or dredged material, regardless of whether it has commercial value, 
from a point in the United States or on the high seas within the exclusive 
economic zone, to another point in the United States or on the high seas 
within the exclusive economic zone. 
‘‘§ 55111. Towing 
‘‘(a) IN GENERAL.—Except when towing a vessel in distress, a vessel may 
not do any part of any towing described in subsection (b) unless the towing 
vessel—
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‘‘(1) is wholly owned by citizens of the United States for purposes 
of engaging in the coastwise trade; and 
‘‘(2) has been issued a certificate of documentation with a coastwise 
endorsement under chapter 121 of this title or is exempt from docu-
mentation but would otherwise be eligible for such a certificate and en-
dorsement. 
‘‘(b) APPLICABLE TOWING.—Subsection (a) applies to the towing of— 
‘‘(1) a vessel between ports or places in the United States to which 
the coastwise laws apply, either directly or via a foreign port or place; 
‘‘(2) a vessel from point to point within the harbors of ports or 
places to which the coastwise laws apply; or 
‘‘(3) a vessel transporting valueless material or dredged material, re-
gardless of whether it has commercial value, from a point in the United 
States or on the high seas within the exclusive economic zone, to an-
other point in the United States or on the high seas within the exclu-
sive economic zone. 
‘‘(c) PENALTIES.— 
‘‘(1) OWNER AND MASTER.—The owner and master of a vessel tow-
ing another vessel in violation of this section are each liable for a pen-
alty of at least $350 but not more than $1,100. A penalty under this 
paragraph constitutes a lien on the vessel. The lien is enforceable in 
a district court of the United States for any district in which the vessel 
is found. Clearance may not be granted to the vessel until the penalties 
have been paid. 
‘‘(2) VESSEL.—In addition to the penalties under paragraph (1), the 
towing vessel is liable for a penalty of $60 per ton based on the ton-
nage of each towed vessel. 
‘‘§ 55112. Vessel escort operations and towing assistance 
‘‘(a) IN GENERAL.—Except in the case of a vessel in distress, only a ves-
sel of the United States may perform the following escort vessel operations 
within the navigable waters of the United States: 
‘‘(1) Operations that commence or terminate at a port or place in 
the United States. 
‘‘(2) Operations required by United States law or regulation. 
‘‘(3) Operations provided in whole or in part within or through navi-
gation facilities owned, maintained, or operated by the United States 
Government or the approaches to those facilities, other than facilities 
operated by the St. Lawrence Seaway Development Corporation on the 
St. Lawrence River portion of the Seaway. 
‘‘(b) ESCORT VESSELS.—For purposes of this section, an escort vessel 
is—
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‘‘(1) any vessel that is assigned and dedicated to assist another ves-
sel, whether or not tethered to that vessel, solely as a safety precaution 
to assist in controlling the speed or course of the assisted vessel in the 
event of a steering or propulsion equipment failure, or any other simi-
lar emergency circumstance, or in restricted waters where additional 
assistance in maneuvering the vessel is required to ensure its safe oper-
ation; and 
‘‘(2) in the case of a vessel being towed under section 55111 of this 
title, any vessel that is assigned and dedicated to the vessel being towed 
in addition to any towing vessel required under that section. 
‘‘(c) RELATIONSHIP TO OTHER LAW.—This section does not affect sec-
tion 55111 of this title. 
‘‘(d) PENALTY.—A person violating this section is liable to the Govern-
ment for a civil penalty of not more than $10,000 for each day during which 
the violation occurs. 
‘‘§ 55113. Use of foreign documented oil spill response ves-
sels 
‘‘Notwithstanding any other provision of law, an oil spill response vessel 
documented under the laws of a foreign country may operate in waters of 
the United States on an emergency and temporary basis, for the purpose 
of recovering, transporting, and unloading in a United States port oil dis-
charged as a result of an oil spill in or near those waters, if— 
‘‘(1) an adequate number and type of oil spill response vessels docu-
mented under the laws of the United States cannot be engaged to re-
cover oil from an oil spill in or near those waters in a timely manner, 
as determined by the Federal On-Scene Coordinator for a discharge or 
threat of a discharge of oil; and 
‘‘(2) the foreign country has by its laws accorded to vessels of the 
United States the same privileges accorded to vessels of the foreign 
country under this section. 
‘‘§ 55114. Unloading fish from foreign vessels 
‘‘(a) PROHIBITIONS.—Except as otherwise provided by this section or a 
treaty or convention to which the United States is a party, a foreign vessel 
may not unload, in a port of the United States— 
‘‘(1) its catch of fish taken on board on the high seas or fish prod-
ucts processed from that catch of fish; or 
‘‘(2) fish or fish products taken on board that vessel on the high seas 
from a vessel engaged in fishing operations or the processing of fish 
or fish products. 
‘‘(b) REGULATIONS
ON OBTAINING INFORMATION.—The Secretary of 
Commerce may prescribe regulations the Secretary considers necessary to
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obtain information on the transportation of fish products by vessels of the 
United States for foreign fish processing vessels to points in the United 
States. 
‘‘(c) VIRGIN ISLANDS.— 
‘‘(1) IN GENERAL.—A foreign vessel of not more than 50 feet overall 
in length may unload its catch of fresh fish (whole or with the heads, 
viscera, or fins removed, but not frozen, otherwise processed, or further 
advanced) in a port of the Virgin Islands for immediate consumption 
in those islands. Fish unloaded under this paragraph may be sold or 
transferred only for immediate consumption. In the absence of satisfac-
tory evidence that a sale or transfer to an agent, representative, or em-
ployee of a freezer or cannery is for immediate consumption, the sale 
or transfer is deemed not to be for immediate consumption. This para-
graph does not prohibit the freezing, smoking, or other processing of 
fresh fish by the ultimate consumer of the fish. 
‘‘(2) SEIZURE, FORFEITURE, AND PENALTY.—Fish unloaded in the 
Virgin Islands that are retained, sold, or transferred, except as allowed 
by paragraph (1), are liable to seizure by and forfeiture to the United 
States Government. A person retaining, selling, transferring, buying, or 
receiving the fish is liable to the Government for a civil penalty of not 
more than $1,000 for each violation. A penalty or forfeiture under this 
paragraph may be compromised, modified, or remitted under section 
2107(b) of this title. 
‘‘(d) NORTHERN MARIANA ISLANDS.—Subsection (a) does not apply to 
the Northern Mariana Islands. 
‘‘§ 55115. Supplies on fish processing vessels 
‘‘Section 55102 of this title does not apply to supplies aboard a United 
States documented fish processing vessel that are necessary and used for 
processing or assembling fishery products aboard such a vessel. 
‘‘§ 55116. Canadian rail lines 
‘‘Section 55102 of this title does not apply to the transportation of mer-
chandise between points in the continental United States, including Alaska, 
over through routes in part over Canadian rail lines and connecting water 
facilities if the routes are recognized by the Surface Transportation Board 
and rate tariffs for the routes have been filed with the Board. 
‘‘§ 55117. Great Lakes rail route 
‘‘Section 55102 of this title does not apply to the transportation of mer-
chandise loaded on a railroad car or to a motor vehicle with or without a 
trailer, and with its passengers or contents when accompanied by the oper-
ator, when the railroad car or motor vehicle is transported in a railroad car
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ferry operated between fixed terminals on the Great Lakes as part of a rail 
route, if— 
‘‘(1) the car ferry is owned by a common carrier by water and oper-
ated as part of a rail route with the approval of the Surface Transpor-
tation Board; 
‘‘(2) the stock of the common carrier by water, or its predecessor, 
was owned or controlled by a common carrier by rail prior to June 5, 
1920; 
‘‘(3) the stock of the common carrier owning the car ferry is, with 
the approval of the Board, now owned or controlled by a common car-
rier by rail; and 
‘‘(4) the car ferry is built in and documented under the laws of the 
United States. 
‘‘§ 55118. Foreign railroads whose road enters by ferry, tug-
boat, or towboat 
‘‘A foreign railroad, whose road enters the United States by ferry, tug-
boat, or towboat, may own and operate a vessel not having a coastwise en-
dorsement in connection with the water transportation of the passenger, 
freight, express, baggage, and mail cars used by that road, together with 
the passengers, freight, express matter, baggage, and mails transported in 
those cars. However, the foreign railroad is subject to the same restrictions 
imposed by law on a vessel of the United States entering a port of the 
United States from the same foreign country. Except as otherwise author-
ized by this chapter, the ferry, tugboat, or towboat may not, under penalty 
of forfeiture, be used in the transportation of merchandise between ports 
or places in the United States to which the coastwise laws apply. 
‘‘§ 55119. Yukon River 
‘‘Section 55102 of this title does not apply to the transportation of mer-
chandise on the Yukon River until the Alaska Railroad is completed and the 
Secretary of Transportation finds that proper facilities will be available for 
transportation by citizens of the United States to properly handle the traf-
fic. 
‘‘§ 55120. Transshipment of imported merchandise intended 
for immediate exportation 
‘‘The Secretary of Homeland Security may prescribe regulations for the 
transshipment and transportation of merchandise that is imported into the 
United States by sea for immediate exportation to a foreign port by sea, 
or by a river, the right to ascend or descend which for the purposes of com-
merce is secured by treaty to the citizens of the United States and the sub-
jects of a foreign power.
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‘‘§ 55121. Transportation of merchandise and passengers on 
Canadian vessels 
‘‘(a) BETWEEN ROCHESTER AND ALEXANDRIA BAY.—Until passenger 
service is established by vessels of the United States between the port of 
Rochester, New York, and the port of Alexandria Bay, New York, the Sec-
retary of Homeland Security may issue annually permits to Canadian pas-
senger vessels to transport passengers between those ports. Canadian vessels 
holding such a permit are not subject to section 55103 of this title. 
‘‘(b) WITHIN ALASKA OR BETWEEN ALASKA AND OTHER POINTS IN THE 
UNITED STATES.—Until the Secretary of Transportation determines that 
service by vessels of the United States is available to provide the transpor-
tation described in paragraph (1) or (2), sections 55102 and 55103 of this 
title do not apply to the transportation on Canadian vessels of— 
‘‘(1) passengers between ports in southeastern Alaska; or 
‘‘(2) passengers or merchandise between Hyder, Alaska, and other 
points in southeastern Alaska or in the United States outside Alaska. 
‘‘CHAPTER 553—PASSENGER AND CARGO PREFERENCES 
‘‘SUBCHAPTER I—GENERAL 
‘‘Sec. 
‘‘55301.
Priority loading for coal. 
‘‘55302.
Transportation of United States Government personnel. 
‘‘55303.
Motor vehicles owned by United States Government personnel. 
‘‘55304.
Exports financed by the United States Government. 
‘‘55305.
Cargoes procured, furnished, or financed by the United States Government. 
‘‘SUBCHAPTER II—EXPORT TRANSPORTATION OF AGRICULTURAL 
COMMODITIES 
‘‘55311.
Findings and purposes. 
‘‘55312.
Determining prevailing world market price. 
‘‘55313.
Exemption of certain agricultural exports from cargo preference provisions. 
‘‘55314.
Transportation requirements for certain exports sponsored by the Secretary of Agri-
culture. 
‘‘55315.
Minimum tonnage. 
‘‘55316.
Financing the transportation of agricultural commodities. 
‘‘55317.
Termination of subchapter. 
‘‘55318.
Effect on other law. 
‘‘SUBCHAPTER III—AMERICAN GREAT LAKES VESSELS 
‘‘55331.
Definitions. 
‘‘55332.
Designating American Great Lakes vessels. 
‘‘55333.
Exemption from restriction on transporting certain cargo. 
‘‘55334.
Restrictions on operations. 
‘‘55335.
Revocations and terminations of designations. 
‘‘55336.
Civil penalty. 
‘‘SUBCHAPTER I—GENERAL 
‘‘§ 55301. Priority loading for coal 
‘‘A vessel engaged in the coastwise transportation of coal produced in the 
United States, from a port in the United States to another port in the 
United States, shall be given priority in loading at any of those ports ahead 
of a waiting vessel engaged in the export transportation of coal produced 
in the United States. However, if the Secretary of Transportation finds that
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it is in the national interest, the Secretary may eliminate this priority load-
ing at any port. The Secretary shall report to Congress within 30 days an 
action eliminating priority loading under this section. 
‘‘§ 55302. Transportation of United States Government per-
sonnel 
‘‘(a) IN GENERAL.—An officer or employee of the United States Govern-
ment traveling by sea on official business overseas or to or from a territory 
or possession of the United States shall travel and transport personal effects 
on a vessel documented under the laws of the United Sates if such a vessel 
is available, unless the necessity of the mission requires the use of a foreign 
vessel. 
‘‘(b) REGULATIONS.—The Administrator of General Services shall pre-
scribe regulations under which agencies may not pay for or reimburse an 
officer or employee for travel or transportation expenses incurred on a for-
eign vessel in the absence of satisfactory proof of the necessity of using the 
vessel. 
‘‘§ 55303. Motor vehicles owned by United States Govern-
ment personnel 
‘‘Notwithstanding any other law, privately-owned American shipping serv-
ices may be used to transport motor vehicles owned by personnel of the 
United States Government whenever transportation of those vehicles at Gov-
ernment expense is otherwise authorized by law. 
‘‘§ 55304. Exports financed by the United States Government 
‘‘It is the sense of Congress that any loans made by an instrumentality 
of the United States Government to foster the exporting of agricultural or 
other products shall provide that the products may be transported only on 
vessels of the United States unless, as to any or all of those products, the 
Secretary of Transportation, after investigation, certifies to the instrumen-
tality that vessels of the United States are not available in sufficient num-
ber, in sufficient tonnage capacity, on necessary schedules, or at reasonable 
rates. 
‘‘§ 55305. Cargoes procured, furnished, or financed by the 
United States Government 
‘‘(a) DEFINITION.—In this section, the term ‘privately-owned commercial 
vessel of the United States’ does not include a vessel that, after September 
21, 1961, was built or rebuilt outside the United States or documented 
under the laws of a foreign country, until the vessel has been documented 
under the laws of the United States for at least 3 years. 
‘‘(b) MINIMUM TONNAGE.—When the United States Government pro-
cures, contracts for, or otherwise obtains for its own account, or furnishes 
to or for the account of a foreign country without provision for reimburse-
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ment, any equipment, materials, or commodities, within or without the 
United States, or advances funds or credits, or guarantees the convertibility 
of foreign currencies in connection with the furnishing of the equipment, 
materials, or commodities, the appropriate agencies shall take steps nec-
essary and practicable to ensure that at least 50 percent of the gross ton-
nage of the equipment, materials, or commodities (computed separately for 
dry bulk carriers, dry cargo liners, and tankers) which may be transported 
on ocean vessels is transported on privately-owned commercial vessels of the 
United States, to the extent those vessels are available at fair and reason-
able rates for commercial vessels of the United States, in a manner that 
will ensure a fair and reasonable participation of commercial vessels of the 
United States in those cargoes by geographic areas. 
‘‘(c) WAIVERS.—The President, the Secretary of Defense, or Congress (by 
concurrent resolution or otherwise) may waive this section temporarily by— 
‘‘(1) declaring the existence of an emergency justifying a waiver; and 
‘‘(2) notifying the appropriate agencies of the waiver. 
‘‘(d) PROGRAMS OF OTHER AGENCIES.—An agency having responsibility 
under this section shall administer its programs with respect to this section 
under regulations prescribed by the Secretary of Transportation. The Sec-
retary shall review the administration of those programs and report annu-
ally to Congress on their administration. 
‘‘SUBCHAPTER II—EXPORT TRANSPORTATION OF 
AGRICULTURAL COMMODITIES 
‘‘§ 55311. Findings and purposes 
‘‘(a) FINDINGS.—Congress finds that— 
‘‘(1) a productive and healthy agricultural industry and a strong and 
active United States maritime industry are vitally important to the eco-
nomic well-being and security of the United States; 
‘‘(2) both industries must compete in international markets increas-
ingly dominated by foreign trade barriers and the subsidization prac-
tices of foreign governments; and 
‘‘(3) increased agricultural exports and the use of merchant vessels 
of the United States contribute positively to the United States balance 
of trade and generate employment opportunities in the United States. 
‘‘(b) PURPOSES.—The purposes of this subchapter are to— 
‘‘(1) enable the Secretary of Agriculture to plan export programs ef-
fectively, by clarifying the ocean transportation requirements applicable 
to those programs; 
‘‘(2) take immediate and positive steps to promote the growth of the 
cargo-carrying capacity of the United States merchant marine;
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‘‘(3) expand international trade in United States agricultural com-
modities and products and develop, maintain, and expand markets for 
United States agricultural exports; 
‘‘(4) improve the efficiency of administration of both the commodity 
purchasing and selling activities and the ocean transportation activities 
associated with export programs sponsored by the Secretary; 
‘‘(5) stimulate and promote the agricultural and maritime industries 
of the United States and encourage cooperative efforts by both indus-
tries to address their common problems; and 
‘‘(6) provide for the appropriate disposition of these findings and 
purposes. 
‘‘§ 55312. Determining prevailing world market price 
‘‘(a) AGRICULTURAL COMMODITIES
AND PRODUCTS.—The prevailing 
world market price for agricultural commodities or their products shall be 
determined under this subchapter under procedures prescribed by the Sec-
retary of Agriculture. The Secretary shall prescribe the procedures by regu-
lation, with notice and opportunity for public comment under section 553 
of title 5. 
‘‘(b) SERVICES
AND NON-AGRICULTURAL COMMODITIES
AND PROD-
UCTS.—If a determination of the prevailing world market price of any other 
type of materials, goods, equipment, or service is required to determine 
whether a barter or exchange transaction is subject to section 55314(b)(6) 
or (7) of this title, the determination shall be made by the Secretary of Ag-
riculture in consultation with the heads of other appropriate agencies. 
‘‘§ 55313. Exemption of certain agricultural exports from 
cargo preference provisions 
‘‘Sections 55304 and 55305 of this title do not apply to export activities 
of the Secretary of Agriculture or the Commodity Credit Corporation under 
which— 
‘‘(1) agricultural commodities or their products acquired by the Cor-
poration are made available to United States exporters, users, proc-
essors, or foreign purchasers for the purpose of developing, maintain-
ing, or expanding export markets for United States agricultural com-
modities or their products at prevailing world market prices; 
‘‘(2) payments are made available to United States exporters, users, 
or processors or, except as provided in section 55314 of this title, cash 
grants are made available to foreign purchasers, for the purpose de-
scribed in paragraph (1); 
‘‘(3) commercial credit guarantees are blended with direct credits 
from the Corporation to reduce the effective rate of interest on export 
sales of United States agricultural commodities or their products;
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‘‘(4) credit or credit guarantees for not more than 3 years are ex-
tended by the Corporation to finance or guarantee export sales of 
United States agricultural commodities or their products; or 
‘‘(5) agricultural commodities or their products owned or controlled 
by or under loan from the Corporation are exchanged or bartered for 
materials, goods, equipment, or services at least equal in value to the 
agricultural commodities or their products for which they are ex-
changed or bartered (determined on the basis of prevailing world mar-
ket prices at the time of the exchange or barter), but this paragraph 
does not exempt from the cargo preference provisions referred to in 
section 55314(b) of this title any requirement otherwise applicable to 
the materials, goods, equipment, or services imported under the trans-
action. 
‘‘§ 55314. Transportation requirements for certain exports 
sponsored by the Secretary of Agriculture 
‘‘(a) MINIMUM TONNAGE.— 
‘‘(1) IN GENERAL.—In addition to the requirement under section 
55305 of this title for the transportation of a percentage of gross ton-
nage on commercial vessels of the United States, 25 percent of the 
gross tonnage of agricultural commodities or their products specified in 
subsection (b) shall be transported each calendar year on commercial 
vessels of the United States that— 
‘‘(A) are necessary for national security; and 
‘‘(B) if more than 25 years old, were rebuilt within the last 5 
years and certified by the Secretary of Transportation as having 
a useful life of at least 5 years after that rebuilding. 
‘‘(2) CALENDAR YEAR.—To provide for effective and equitable ad-
ministration of the cargo preference laws, the calendar year for the 
purpose of compliance with minimum percentage requirements is the 
12-month period beginning October 1 of each year. 
‘‘(b) APPLICABLE EXPORT ACTIVITY.—This section applies to export ac-
tivity (except inspection or weighing activities, other activities carried out 
for health or safety, or technical assistance provided in the handling of com-
mercial transactions) of the Secretary of Agriculture or the Commodity 
Credit Corporation— 
‘‘(1) carried out under the Agricultural Trade Development and As-
sistance Act of 1954 (7 U.S.C. 1691 et seq.); 
‘‘(2) carried out under section 416 of the Agricultural Act of 1949 
(7 U.S.C. 1431); 
‘‘(3) carried out under the Bill Emerson Humanitarian Trust Act (7 
U.S.C. 1736f–1);
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‘‘(4) under which agricultural commodities or their products are— 
‘‘(A) donated through foreign governments or private or public 
agencies, including intergovernmental organizations; or 
‘‘(B) sold for foreign currencies or for dollars on credit terms 
of more than 10 years; 
‘‘(5) under which agricultural commodities or their products are 
made available for emergency food relief at less than prevailing world 
market prices; 
‘‘(6) under which a cash grant is made directly or through an inter-
mediary to a foreign purchaser to enable the purchaser to obtain 
United States agricultural commodities or their products in an amount 
greater than the difference between the prevailing world market price 
and the United States market price, free along side vessel at a United 
States port; or 
‘‘(7) under which agricultural commodities owned or controlled by or 
under loan from the Corporation are exchanged or bartered for mate-
rials, goods, equipment, or services produced in foreign countries, ex-
cept export activities described in section 55313(5) of this title. 
‘‘(c) ADDITIONAL REQUIREMENTS.— 
‘‘(1) APPLICATION OF SECTION 55305.—The requirement for trans-
portation on vessels of the United States under subsection (a) is sub-
ject to the same terms and conditions as provided in section 55305 of 
this title. 
‘‘(2) ALLOCATION OF COMMODITIES.—Subject to paragraph (3), in 
carrying out this section and section 55305 of this title, the Corpora-
tion shall take steps necessary and practicable, and consistent with this 
section and section 55305, without detriment to any port range to allo-
cate, on the principle of lowest landed cost without regard to the coun-
try of registry of the vessel, 25 percent of the bagged, processed, or 
fortified commodities provided under title II of the Agricultural Trade 
Development and Assistance Act of 1954 (7 U.S.C. 1721 et seq.). 
‘‘(3) CALCULATIONS.—In carrying out paragraph (2), first there 
shall be calculated the allocation of 100 percent of the quantity to be 
procured on an overall lowest landed cost basis without regard to the 
country of registry of the vessel, and then there shall be allocated to 
the Great Lakes port range any cargoes for which it has the lowest 
landed cost under that calculation. The requirements for transportation 
on vessels of the United States under this section and section 55305 
of this title do not apply to commodities allocated to the Great Lakes 
port range under paragraph (2). Commodities allocated to the Great 
Lakes port range under paragraph (2) may not be reallocated or di-