Trump SCRAPS 100-Year Law With Desperate Move

Close-up of a fuel pump with diesel and gasoline options

President Trump invokes century-old emergency powers to waive the Jones Act for 60 days, unleashing foreign ships on American waters to battle skyrocketing fuel prices from the Iran war—but will it actually lower your gas bill?

Story Snapshot

Trump administration considers rare Jones Act waiver amid Iran conflict disrupting global oil flows.
Fuel prices surge: gasoline hits $3.60/gallon, diesel $4.89/gallon, Brent crude tops $100/barrel.
Waiver allows foreign tankers to shuttle oil and gas between U.S. ports, expanding scarce domestic capacity.
Experts predict modest relief: 3-10 cents/gallon drop, insufficient against broader oil shock.
Temporary measure framed as national defense, paired with massive Strategic Petroleum Reserve release.

Jones Act Origins and Strict Requirements

Congress passed the Jones Act in 1920 to bolster national security through a robust U.S. merchant fleet. The law mandates that goods shipped between American ports use vessels built in the U.S., flagged under the U.S., and owned mostly by Americans. This protects domestic shipyards but creates bottlenecks. Today, only 54 of 7,500 global tankers meet these rules, driving up costs during crises. Foreign alternatives remain cheaper and more plentiful, yet banned from domestic routes.

Iran War Ignites Fuel Price Crisis

U.S. and Israeli forces struck Iran on February 28, 2026, prompting Tehran to choke the Strait of Hormuz, which handles one-fifth of world oil. Brent crude leaped 8% from $60 to over $100 per barrel. West Texas Intermediate hit $95.02. Gasoline prices climbed to $3.60 per gallon, highest since May 2024. Diesel reached $4.89 per gallon, peaking since late 2022. These spikes threaten consumers and the economy amid war-driven disruptions.

White House Signals Emergency Waiver

On March 12-13, 2026, spokeswoman Karoline Leavitt announced the White House weighs a Jones Act waiver for national defense. The move ensures energy products and farm goods flow to U.S. ports freely. Officials call price surges a short-term hit for long-term victory over Iran. They pair it with releasing 172 million barrels from the Strategic Petroleum Reserve, the largest International Energy Agency emergency draw ever. Action remains unfinalized as of mid-March.

Stakeholders Clash Over Domestic Protections

Trump’s team eyes 30-60 day suspension to ease inflation without permanent repeal. Energy firms and consumers stand to gain from cheaper transport to Northeast and West Coast markets. U.S. shipbuilders and shipping companies oppose, fearing foreign competition erodes their edge. Homeland Security and Defense leaders hold waiver authority. Congress watches silently so far. This pragmatic step aligns with conservative priorities: shield families from war profiteering while safeguarding American jobs long-term.

Waiver opens domestic routes to foreign tankers hauling oil, gasoline, diesel, LNG, and fertilizer. Experts diverge on relief. Center for American Progress sees just 3 cents per gallon drop. Others forecast 5-10 cents slowdown in rises. One study projects East Coast savings: $0.63/gallon gasoline, $0.82 diesel, $0.80 jet fuel per barrel equivalent. Peter Harrell, ex-Biden official, deems it small but useful against oil shock.

President Trump waives Jones Act for 60 days in effort to ease energy prices. https://t.co/FkRisX7GQH

— CBS News (@CBSNews) March 18, 2026

Historical Precedents Guide Rare Action

Governments grant waivers only in disasters: Hurricanes Harvey, Maria, Sandy in 2017 and 2012, plus pipeline failures. Colin Grabow of Cato Institute blasts the Act for curtailing energy options. Temporary suspension minimizes shipyard harm, prioritizing consumer relief. Common sense dictates using every tool against foreign aggression inflating pump prices. Full repeal debates aside, this measured response fits American values of self-reliance under siege.