46 USC 55305 Cargoes procured, furnished, or financed by the United States Government

[§ 55301

TITLE 46—SHIPPING

SUBCHAPTER I—GOVERNMENT IMPELLED
TRANSPORTATION
Editorial Notes
AMENDMENTS
2021—Pub. L. 116–283, div. A, title X, § 1024(b)(2), Jan.
1, 2021, 134 Stat. 3842, substituted ‘‘GOVERNMENT IMPELLED TRANSPORTATION’’ for ‘‘GENERAL’’ in
heading.

[§ 55301. Renumbered § 55123]
§ 55302. Transportation of United States Government personnel
(a) IN GENERAL.—An officer or employee of the
United States Government 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 prescribe regulations under
which agencies may not pay for or reimburse an
officer or employee for travel or transportation
expenses incurred on a foreign vessel in the absence of satisfactory proof of the necessity of
using the vessel.
(Pub. L. 109–304, § 8(c), Oct. 6, 2006, 120 Stat. 1642.)
HISTORICAL AND REVISION NOTES
Revised
Section
55302 ..........

Source (U.S. Code)
46 App.:1241(a).

Source (Statutes at Large)
June 29, 1936, ch. 858, title
IX, § 901(a), 49 Stat. 2015;
Aug. 26, 1954, ch. 936, 68
Stat. 832; Pub. L. 104–316,
title I, § 125, Oct. 19, 1996,
110 Stat. 3839.

In subsection (a), the words ‘‘by sea’’ are added for
clarity. The words ‘‘a territory or possession of the
United States’’ are substituted for ‘‘any of the possessions of the United States’’ for consistency in the revised title.
Executive Documents
EXEMPTIONS
Functions authorized by Foreign Assistance Act of
1961 as exempt, see Ex. Ord. No. 11223, eff. May 12, 1965,
30 F.R. 6635, set out under section 2393 of Title 22, Foreign Relations and Intercourse.

§ 55303. Motor vehicles owned by United States
Government personnel
Notwithstanding any other law, privatelyowned American shipping services may be used
to transport motor vehicles owned by personnel
of the United States Government whenever
transportation of those vehicles at Government
expense is otherwise authorized by law.
(Pub. L. 109–304, § 8(c), Oct. 6, 2006, 120 Stat. 1642.)
HISTORICAL AND REVISION NOTES
Revised
Section
55303 ..........

Source (U.S. Code)
46 App.:1241(c).

Source (Statutes at Large)
June 29, 1936, ch. 858, title
IX, § 901(c), as added May
28, 1956, ch. 325, 70 Stat.
187.

Page 478

§ 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 instrumentality
that vessels of the United States are not available in sufficient number, in sufficient tonnage
capacity, on necessary schedules, or at reasonable rates.
(Pub. L. 109–304, § 8(c), Oct. 6, 2006, 120 Stat. 1642.)
HISTORICAL AND REVISION NOTES
Revised
Section
55304 ..........

Source (U.S. Code)
46 App.:1241–1.

Source (Statutes at Large)
Mar. 26, 1934, ch. 90, 48 Stat.
500; June 29, 1936, ch. 858,
§ 204, 49 Stat. 1987; Pub. L.
97–31, § 12(127), Aug. 6, 1981,
95 Stat. 165.

This section codifies the Joint Resolution of March
26, 1934 (ch. 90, 48 Stat. 500) (also commonly known as
Public Resolution 17). The codification of this provision
is not intended to change its status as a ‘‘Sense of Congress’’ provision in any way. The words ‘‘Reconstruction Finance Corporation or’’ are omitted as obsolete
because the Reconstruction Finance Corporation was
abolished by section 6 of Reorganization Plan No. 1 of
1957 (5 App. U.S.C.).

§ 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 procures, contracts for, or
otherwise obtains for its own account, or furnishes to or for the account of a foreign country,
organization, or persons without provision for
reimbursement, any equipment, materials, or
commodities, or provides financing in any way
with Federal funds for the account of any persons unless otherwise exempted, within or without the United States, or advances funds or
credits, or guarantees the convertibility of foreign currencies in connection with the furnishing or obtaining of the equipment, materials, or commodities, the appropriate agencies
shall take steps necessary and practicable to ensure that at least 50 percent of the gross tonnage
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 reasonable 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.

Page 479

(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.—
(1) Each department or agency that has responsibility for a program under this section
shall administer that program with respect to
this section under regulations and guidance
issued by the Secretary of Transportation. The
Secretary, after consulting with the department or agency or organization or person involved, shall have the sole responsibility for
determining if a program is subject to the requirements of this section.
(2) The Secretary—
(A) shall conduct an annual review of the
administration of programs determined pursuant to paragraph (1) as subject to the requirements of this section and annually submit to the Committee on Transportation and
Infrastructure of the House of Representatives and the Committee on Commerce,
Science, and Transportation of the Senate a
report on the administration of such programs;
(B) may direct agencies to require the
transportation on United States-flagged vessels of cargo shipments not otherwise subject to this section in equivalent amounts to
cargo determined to have been shipped on
foreign carriers in violation of this section;
(C) may impose on any person that violates this section, or a regulation prescribed
under this section, a civil penalty of not
more than $25,000 for each violation willfully
and knowingly committed, with each day of
a continuing violation following the date of
shipment to be a separate violation; and
(D) may take other measures as appropriate under the Federal Acquisition Regulations issued pursuant to section 25(c)(1) 1 of
the Office of Federal Procurement Policy
Act (41 U.S.C. 1303(a)(1)) or contract with respect to each violation.
OF
GOVERNMENT-IMPELLED
(e)
SECURITY
CARGO.—
(1) In order to ensure the safety of vessels
and crewmembers transporting equipment,
materials, or commodities under this section,
the Secretary of Transportation shall direct
each department or agency (except the Department of Defense), when responsible for the
carriage of such equipment, materials, or commodities, to reimburse, subject to the availability of appropriations, the owners or operators of vessels of the United States carrying
such equipment, materials, or commodities for
the cost of providing armed personnel aboard
such vessels if the vessels are transiting highrisk waters.
(2) In this subsection, the term ‘‘high-risk
waters’’ means waters so designated by the
Commandant of the Coast Guard in the mari1 See

References in Text note below.

§ 55305

TITLE 46—SHIPPING

time security directive issued by the Commandant and in effect on the date on which an
applicable voyage begins, if the Secretary of
Transportation—
(A) determines that an act of piracy occurred in the 12-month period preceding the
date the voyage begins; or
(B) in such period, issued an advisory
warning that an act of piracy is possible in
such waters.
(Pub. L. 109–304, § 8(c), Oct. 6, 2006, 120 Stat. 1642;
Pub. L. 110–417, div. C, title XXXV, § 3511(a), (b),
Oct. 14, 2008, 122 Stat. 4769; Pub. L. 112–213, title
V, § 503, Dec. 20, 2012, 126 Stat. 1575; Pub. L.
113–281, title III, § 306, Dec. 18, 2014, 128 Stat. 3044;
Pub. L. 115–232, div. C, title XXXV, § 3546(s), Aug.
13, 2018, 132 Stat. 2327; Pub. L. 117–263, div. C,
title XXXV, § 3502(b), Dec. 23, 2022, 136 Stat. 3065.)
HISTORICAL AND REVISION NOTES
Revised
Section

Source (U.S. Code)

Source (Statutes at Large)

55305(a) ......

46 App.:1241(b)(1)
(2d, last provisos).

June 29, 1936, ch. 858, title
IX, § 901(b), as added Aug.
26, 1954, ch. 936, 68 Stat.
832; Pub. L. 87–266, Sept.
21, 1961, 75 Stat. 565; Pub.
L. 91–469, § 27, Oct. 21, 1970,
84 Stat. 1034; Pub. L. 97–31,
§ 12(126), Aug. 6, 1981, 95
Stat. 165.

55305(b) ......

46 App.:1241(b)(1)
(words before 1st
proviso).
46 App.:1241(b)(1)
(1st proviso).
46 App.:1241(b)(2).

55305(c) ......
55305(d) ......

In this section, the words ‘‘commercial vessels of the
United States’’ are substituted for ‘‘United States-flag
commercial vessels’’ for consistency in the revised
title.
In subsection (a), the words ‘‘the provisions of this
subsection shall not apply to cargoes carried in the vessels of the Panama Canal Company’’ are omitted as obsolete. The words ‘‘Nothing herein shall repeal or otherwise modify the provisions of section 1241–1 of this
Appendix’’ are omitted as unnecessary. The last proviso
in 46 App. U.S.C. 1241(b)(1) is omitted as obsolete.
Editorial Notes
REFERENCES IN TEXT
Section 25(c)(1) of the Office of Federal Procurement
Policy Act, referred to in subsec. (d)(2)(D), was classified to section 421(c)(1) of former Title 41, Public Contracts, and was repealed and restated as section
1303(a)(1) of Title 41, Public Contracts, by Pub. L.
111–350, §§ 3, 7(b), Jan. 4, 2011, 124 Stat. 3677, 3855. For
disposition of sections of former Title 41, see Disposition Table preceding section 101 of Title 41.
AMENDMENTS
2022—Subsec. (d)(2)(A). Pub. L. 117–263 inserted ‘‘and
annually submit to the Committee on Transportation
and Infrastructure of the House of Representatives and
the Committee on Commerce, Science, and Transportation of the Senate a report on the administration of
such programs’’ after ‘‘section’’.
2018—Subsec. (d)(2)(D). Pub. L. 115–232 substituted
‘‘1303(a)(1))’’ for ‘‘421(c)(1)’’.
2014—Subsec. (e)(1). Pub. L. 113–281, § 306(1), substituted ‘‘reimburse, subject to the availability of appropriations, the owners or operators of vessels’’ for
‘‘provide armed personnel aboard vessels’’ and ‘‘commodities for the cost of providing armed personnel
aboard such vessels’’ for ‘‘commodities’’.
Subsec. (e)(2), (3). Pub. L. 113–281, § 306(2), added par.
(2) and struck out former pars. (2) and (3) which read as
follows:

§ 55311

TITLE 46—SHIPPING

‘‘(2) The Secretary of Transportation shall direct
each department or agency responsible to provide
armed personnel under paragraph (1) to reimburse, subject to the availability of appropriations, the owners or
operators of applicable vessels for the cost of providing
armed personnel.
‘‘(3) In this subsection, the term ‘high-risk waters’
means waters so designated by the Commandant of the
Coast Guard in the Port Security Advisory in effect on
the date on which an applicable voyage begins.’’
2012—Subsec. (e). Pub. L. 112–213 added subsec. (e).
2008—Subsec. (b). Pub. L. 110–417, § 3511(a), substituted
‘‘foreign country, organization, or persons’’ for ‘‘foreign country’’, ‘‘commodities, or provides financing in
any way with Federal funds for the account of any persons unless otherwise exempted, within’’ for ‘‘commodities, within’’, and ‘‘furnishing or obtaining’’ for ‘‘furnishing’’.
Subsec. (d). Pub. L. 110–417, § 3511(b), reenacted heading without change and amended text generally. Prior
to amendment, text read as follows: ‘‘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
Secretary shall review the administration of those programs and report annually to Congress on their administration.’’
Statutory Notes and Related Subsidiaries
REGULATIONS
Pub. L. 110–417, div. C, title XXXV, § 3511(c), Oct. 14,
2008, 122 Stat. 4770, provided that: ‘‘The Secretary of
Transportation shall prescribe such rules as are necessary to carry out section 55305(d) of title 46, United
States Code. The Secretary may prescribe interim rules
necessary to carry out section 55305(d) of such title. An
interim rule prescribed under this subsection shall remain in effect until superseded by a final rule.’’
SECRETARY OF TRANSPORTATION RESPONSIBILITY WITH
RESPECT TO CARGOES PROCURED, FURNISHED, OR FINANCED BY OTHER FEDERAL DEPARTMENTS AND
AGENCIES
Pub. L. 117–263, div. C, title XXXV, § 3502(a), Dec. 23,
2022, 136 Stat. 3065, provided that: ‘‘Not later than 270
days after the date of the enactment of this Act [Dec.
23, 2022], the Administrator of the Maritime Administration shall issue a final rule to implement and enforce section 55305(d) of title 46, United States Code.’’

SUBCHAPTER
TATION OF
ITIES

II—EXPORT
TRANSPORAGRICULTURAL COMMOD-

§ 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 economic well-being and security of the
United States;
(2) both industries must compete in international markets increasingly dominated by
foreign trade barriers and the subsidization
practices 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 effectively, by clarifying

Page 480

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;
(3) expand international trade in United
States agricultural commodities 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 industries to address their common problems;
and
(6) provide for the appropriate disposition of
these findings and purposes.
(Pub. L. 109–304, § 8(c), Oct. 6, 2006, 120 Stat. 1643.)
HISTORICAL AND REVISION NOTES
Revised
Section
55311 ..........

Source (U.S. Code)
46 App.:1241d.

Source (Statutes at Large)
Pub. L. 99–198, title XI,
§ 1141, Dec. 23, 1985, 99
Stat. 1490.

In subsection (a)(1), the word ‘‘security’’ is substituted for ‘‘national security objectives’’ to eliminate
unnecessary words.
In subsection (b), the words ‘‘Secretary of Agriculture’’ in paragraph (1) and ‘‘Secretary’’ in paragraph
(4) are substituted for ‘‘Department of Agriculture’’ because all functions of the Department are vested in the
Secretary under 7 U.S.C. 2202 and 6911 and Reorganization Plan No. 2 of 1953 (5 App. U.S.C.).

§ 55312. Determining prevailing world market
price
COMMODITIES AND PRODworld market price for agricultural commodities or their products shall
be determined under this subchapter under procedures prescribed by the Secretary of Agriculture. The Secretary shall prescribe the procedures by regulation, with notice and opportunity for public comment under section 553 of
title 5.
(b) SERVICES AND NON-AGRICULTURAL COMMODITIES AND PRODUCTS.—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 Agriculture in
consultation with the heads of other appropriate
agencies.
(a) AGRICULTURAL
UCTS.—The prevailing

(Pub. L. 109–304, § 8(c), Oct. 6, 2006, 120 Stat. 1644.)
HISTORICAL AND REVISION NOTES
Revised
Section
55312 ..........

Source (U.S. Code)
46 App.:1241f(e).

Source (Statutes at Large)
June 29, 1936, ch. 858, title
IX, § 901b(e), as added Pub.
L. 99–198, title XI, § 1142,
Dec. 23, 1985, 99 Stat. 1492.