The Trump administration has released a strategic document named 'America’s Maritime Action Plan,' aiming for the revival of the US shipbuilding industry with a focus on cooperation with ally countries like South Korea and Japan.
On April 13, 2022, the Trump administration publicly unveiled the 'America’s Maritime Action Plan' (MAP), orchestrating a revival of the faltering US shipbuilding industry. The document delineates explicit cooperation with allied nations, particularly South Korea and Japan, allowing these countries to construct initial contract quantities domestically before shifting production to the US. This represents a tangible roadmap stemming from the executive order signed by Trump in April of the previous year aimed at restoring America's maritime dominance.
A significant highlight of the report, released by Secretary of State Marco Rubio and OMB Director Russell Vought, is the formalization of shipbuilding cooperation with allies. It emphasizes a historical collaboration with South Korea and Japan towards revitalizing the American shipbuilding sector, which has been struggling. Central to the strategy is the 'Bridge Strategy,' which allows allied shipyards to fulfill initial contract requirements within their own countries while fostering investments or partnerships with US shipyards, intending to eventually transition production to the US.
The plan also promises to secure a dedicated investment of at least $150 billion for the US shipbuilding industry, reflecting a previously agreed commitment between the US and South Korea established in the previous year. However, the report also reveals potential burdens for South Korean shipping and export companies, as it proposes a 'Universal Fee' on foreign-constructed commercial vessels entering US ports, further complicating the landscape for exporters and shipowners in Korea.
