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Johnson, Garamendi’s Ocean Shipping Reform 2.0 Passes U.S. House

March 21, 2024

Washington, D.C. – Today, legislation led by U.S. Representatives Dusty Johnson (R-S.D.) and John Garamendi (D-CA) to protect U.S. ports and shippers from the Chinese Communist Party’s influence passed the U.S. House overwhelmingly.

The bill prohibits U.S. ports from using Chinese state-sponsored LOGINK software, allows the Federal Maritime Commission (FMC) to investigate foreign shipping exchanges like the Shanghai Shipping Exchange to preempt improper business practices, and authorizes the FMC to streamline data standards for maritime freight logistics.

Johnson and Garamendi introduced the Ocean Shipping Reform Implementation Act in March 2023 to build upon the foundation of the Ocean Shipping Reform Act (OSRA), which became law in June 2022.

“House passage of OSRA 2.0 gets us one step closer to further securing our ocean shipping supply chains,” said Johnson. “The FMC needs authority to crack down on China’s unfair shipping practices. I hope the Senate considers our bill soon.”

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Floor Remarks

Click here or the image above for Johnson’s remarks.

“Foreign businesses' access to the American market and its consumers is a privilege, not a right,” said Congressman Garamendi (D-CA). “In 2022, Congress passed our landmark reform to the nation’s ocean shipping laws for the first time in nearly a quarter century to protect American businesses and consumers from price gouging by foreign-flagged ocean liners. Congressman Johnson and I are committed to seeing that bipartisan 2022 law implemented fully to support American exporters and correct our nation’s longstanding trade imbalance with countries like China. We are finally making free trade fair trade and stopping Chinese state-controlled companies from ripping off our country and gutting our manufacturing jobs. Our implementation bill introduced today will finish the job.”

“ATA thanks Reps. Johnson and Garamendi for their continued leadership to address ocean shipping issues and encourages Congress to pass their Ocean Shipping Reform Implementation Act. Strong bipartisan support for passage of OSRA has resulted in historic and long-awaited improvements to practices at our nation’s maritime ports. Those new regulations are making major strides in ensuring that trucking fleets of all sizes, as well as American agricultural shippers and others moving goods through our ports, are treated fairly by foreign-owned shipping lines. ATA and the Intermodal Motor Carriers Conference are grateful for the continued attention to these vital supply chain issues,” said Henry Hanscom, Senior Vice President of Legislative Affairs for the American Trucking Associations.

“NRF applauds Representatives Dusty Johnson (R-S.D.) and John Garamendi (D-CA) for their ongoing leadership in addressing maritime supply chain issues. The Ocean Shipping Reform Implementation Act picks up where the Ocean Shipping Reform Act left off last Congress. Most importantly, the bill continues to focus on data standardization and collections that are critical to providing the full picture of what is happening in the supply chain and being able to address the next disruption,” said David French, Senior Vice President of Government Relations for the National Retail Federation.

“The NAM strongly supports the Ocean Shipping Reform Implementation Act of 2023 as it addresses targeted and vital improvements to the national supply chain network and will advance important efficiency, workforce and safety priorities sought by manufacturers,” said Christopher Netram, Managing Vice President of Policy, National Association of Manufacturers.

“America’s agriculture producers, processors, and exporters are grateful to Congressmen Dusty Johnson and John Garamendi for their unwavering advocacy, not only on behalf of their own extensive agriculture constituencies, but for all those around the country whose livelihoods depend on agriculture. According to Agriculture Transportation Coalition’s Executive Director, Peter Friedmann, their bipartisan Ocean Shipping Reform Implementation Act will advance national security which is fundamental to maintaining robust US agriculture exports to global markets.”

“NMPF commends today’s House passage of the Ocean Shipping Reform Implementation Act,” said Gregg Doud, President and CEO of the National Milk Producers Federation. “We are grateful to Representatives Johnson and Garamendi for their leadership and commitment to ensuring that U.S. dairy farmers can have their products efficiently shipped overseas. We look forward to working with senators and making this legislation law.”

“U.S. dairy exporters need a reliable and transparent ocean shipping market to service customers around the world,” said Krysta Harden, President and CEO of the U.S. Dairy Export Council. “We thank Representatives Johnson and Garamendi for their continued leadership in advancing legislation that brings certainty for U.S. dairy exporters, including the Ocean Shipping Reform Implementation Act. House passage of this bill today is an important step forward in requiring ocean carriers to fulfill their trade facilitation obligations and enhance predictability for American dairy exporters.”