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US-Korea Shipbuilding Reform Bills Stall as Working Group Drafts Rule Changes

South Korea’s $150 billion MASGA fund, backed by training programs, is poised to capitalize on potential Jones Act and Byrnes-Tollefson reforms even as bills falter in Congress.

Overview

  • The Merchant Marine Allies Partnership Act is the only one of three key shipbuilding bills to advance beyond introduction, leaving the Ensuring Naval Readiness Act and SHIPS for America Act stalled in committee.
  • A US-Korea working-level group has convened to draft specific amendments that would ease Jones Act import duties and relax Byrnes-Tollefson restrictions on allied shipyards.
  • Seoul has mobilized a $150 billion MASGA cooperation fund alongside training programs at US yards to prepare for opportunities in American shipbuilding.
  • Labor unions and national security concerns over foreign involvement in naval vessel construction are significant obstacles to legislative progress.
  • Observers warn that past failures to amend century-old maritime laws and the lack of scheduled hearings make the bills’ passage highly uncertain.