1/Yesterday, @SenateCommerce@commercedems heard from Max Vekich on his appointment to @FMC_gov. He is a former congressman (D-WA) 83-91 & has worked for @WestCoastPorts. As the name implies, it oversees all west coast ports & its board is made up of all the major ocean carriers.
2/The only story I have seen on this is from @JOC_Updates, with the title "FMC nominee gets rare Senate grilling amid US shipping disruption."
The @FMC_gov is the Federal agency charged with oversight of international shipping.
5/Vehick was pressed by @SenatorTester & @SenJohnThune concerning the issue of American exports sitting on the dock, in particular agriculture. As a senior supercharge for the @ilwulongshore he stated that he wanted the @FMC_gov to learn more about ocean carriers' practices?6
6/When queried by @SenatorFischer about this issue further, he dodged the question but said the least that can be done so to ensure there is "a can to put the products in." But, no guarantee that container will get on a ship and out of the terminals to be exported.
7/Next up will be RDML Ann Phillips for the position of @DOTMARAD. I am sure that right now she is underging a crash course in learning all things maritime so that she can be prepared for @commercedems@SenateCommerce to question her on the current shipping & supply crisis.
8/The issue at play here is that nominating politicians, industry advocates, or a generic military officer to fill key roles in @FMC_gov & @DOTMARAD demonstrate the low level of priority and concern the government has consistently shown toward the maritime sector...
9/In the midst of this crisis we need people on the @FMC_gov and @DOTMARAD who can step onto the job on day 1 (278 days since the new admin) & provide not just leadership, but new ideas.
If one has to first learn on the job, the best one can expect is to maintain status quo.
• • •
Missing some Tweet in this thread? You can try to
force a refresh
1/I don't think the author of this article understands how the ocean can be used to fight the #LosAngelesFire #PalisadesFire.
First, what is needed is water to supply fire engines and tenders (tankers). When the fires burned through residential and commercial areas, the water pipes are opened and every structure pulls on the system.
2/Water systems are designed to operate off reservoirs, elevated tanks, pumping stations, or a combination of all. Normally, pumping stations fill elevated tanks during low-consumption periods. The tanks & reservoirs use the weight of the water and gravity to push water through the pipes.
3/As was noted by the director of @LADWP, the tanks were drained due to consumption and as fires opened lines.
The system pumps could not refill the tanks & charge the pipes. This resulted in the loss of pressure on all the hydrants, which has happened in past fires.
The US builds 0.1% of the world's ships; China 51.0%.
The issues are not just economy of scale, but how the nation supports the sector in terms of corporation taxes, availability of financing, and depreciation of ships.
Shipbuilding is critical not just for the commercial sector but also the military; in terms of construction and repairs.
2️⃣ International Freight
The only US-flag ships in international trade are receiving a stipend through the Maritime and Tanker Security Programs, along with military charters under US Transportation Command.
Most of these ships are owned by foreign companies with US subsidiaries, i.e. Maersk Lines, Limited, APL, or Hapag. Part of the building program should target to replace the foreign-built ships with US-built vessels.
The US can establish a tax discount program for Shippers that allows them to move cargo on US ships and earn tax discounts/rebates.
There also needs to be work with the Dept of Defense to provide priority escort to US ships in contested regions such as the Red Sea with the US covering war risk to incentive shipping on US flag ships.
3️⃣Coastal Shipping
Current law requires US-built, crewed, flagged, and owned (which is more restricted than trucks, rail, and air; but they still possess cabotage provisions).
There should be programs to promote short-sea shipping akin to the James River/I64 barge program.
However, the greatest hindrance to coastal shipping is the need to double-handle cargo in ports and the low cost of trucking vice shipping. What has historically undercut coastal shipping was the development of the Interstate highway and pipelines.
In some areas, we need to alleviate restrictions, such as a waiver to reflag LNG tankers into the fleet until domestic ships can be built.
A program needs to be developed to replace the aged Great Lakes fleet, the coastal tanker fleet, and ferry replacements (the Washington State system is in dire need).
Also, we need to see the application of infrastructure funds to improve the Mississippi system to make it more robust from seasonal issues (this is the 3rd year in a row that low water is hindering export of grain).
1/Day 2 of the #PortStrike and a bit of background.
There is a lot of focus on the #ILA & their colorful president, but the issue of port efficiency is at the heart of the matter.
Moving containers through the terminals is key and a main point of the US Maritime Alliance.
2/The US Maritime Alliance (#USMX) consists of port associations, direct employers & shipping lines. The majority of the Board are foreign: Evergreen (Taiwan), ONE (Japan), CMA CGM (France), HAPAG (Germany), MSC (Switzerland), Maersk (Denmark), USA Ports (Canada) & COSCO (China).
3/The efficiency of US ports is not high.
The Container Port Performance Index rates 405 world ports. The 3 largest on the US East/Gulf Coasts are:
1/The latest video release by the #Houthis is just amazing.
This was filmed after the large three explosions set off at night, as indicated by the fires on deck, and the recent photos by @EUNAVFORASPIDES as the bridge is still intact in this video.
2/This was the original video shown by the #Houthis and has three large explosions on deck.
It is believed that they removed some of the manhole covers on the main deck to start the fires off the cargo tanks.
3/This image from the new video shows the ship on fire via those ports.
Not the extent of damage is not as extensive as we see in the later @EUNAVFOR photos and the bridge is intact.
1/It is time to discuss a Tale of Two Carriers, @usnavy @CENTCOM Edition.
The @DeptofDefense just showcased the return of the @TheCVN69 strike group and the award of the Combat Action Ribbon to the ships (although they omitted the ships of the @MSCSealift.)
2/At the time of the #Houthi attacks on shipping, USS Ford Carrier Strike Group was in Med and IKE was in the Persian Gulf, with the destroyer USS Carney making its dramatic appearance by shooting down missiles and drones heading to Israel.
3/With the #Houthi seizure of MV Galaxy Leader (they still hold the ship and crew hostage), @CMF_Bahrain allocated reinforcements to plus up CTF 153 in the Red Sea and initiated Operation Prosperity Guardian.