In October, the Passenger Vessel Association submitted a statement in strong support of PVA members and America’s small shipyards when the Senate Committee on Commerce, Science, and Transportation’s Subcommittee on Coast Guard, Maritime, and Fisheries held a hearing on shipbuilding. On Oct. 28, the subcommittee conducted a hearing entitled “Sea Change: Reviving Commercial Shipbuilding” to examine how to modernize and accelerate U.S. commercial shipbuilding while strengthening America’s broader maritime industrial base. A link to that hearing can be viewed here.
Below are excerpts from PVA’s statement to the committee:
The Role of Small and Mid-Sized Shipyards
U.S. flagged passenger vessels are designed and built almost entirely in small and medium-sized U.S. shipyards, many of them family-owned businesses that are vital to regional economies and workforce development. Within the PVA membership, there are 39 shipyards in 17 states. These yards construct all types of passenger vessels that fly the U.S. flag and are eligible for coastwise service.
PVA supports the Jones Act and the Passenger Vessel Services Act.
These laws ensure that American shipyards can produce a steady stream of U.S. passenger and other types of vessels for the coastwise trades.
The Small Shipyard Grant Program
The Small Shipyard Grant Program, administered by the Maritime Administration, has been helpful in sustaining this network. By providing modest but strategic investments in equipment, training, and infrastructure, the program has allowed small U.S. shipyards to modernize facilities, improve efficiency, and retain skilled workers.
Ferry Construction as a Force Multiplier
In addition to shipyard grants, several federal programs directly support the construction of U.S.-built passenger ferries—an essential link in America’s maritime transportation network. The Federal Transit Administration’s three ferry grant programs (the Passenger Vessel Ferry Grant Program, the Ferry Service for Rural Communities Program, and the Electric or No-Emitting Ferry Pilot Program) have enabled communities across the nation to build new vessels and terminals that are modern, efficient, and fully compliant with the Buy America Act.
The Federal Highway Administration’s Ferry Boat Program
The Federal Highway Administration’s Ferry Boat Program, which provides formula funding to states for ferry construction and improvement, remains another key element in sustaining small and mid-sized shipyards. Many states rely on this consistent source of support to maintain vessel replacement schedules and ensure safe, reliable service for rural and island communities.