World Perspectives

Jones Act on Steroids; Aller Anfang ist Schwer; Copycat Limits

Jones Act on Steroids The Jones Act (Merchant Marine Act of 1920) requires that shipping between U.S. ports involve U.S.-built, owned, flagged and manned vessels. Cruise ships intentionally make a two hour stop in a foreign port to avoid the law. Half of U.S. overseas food aid must follow the law, meaning less food is shipped due to the higher cost. At present, the U.S. is ranked 19th in the work in shipbuilding, adding less than 10 new vessels per year, versus China at over 1,000. The Trump Administration is considering steep fees on imports brought in by Chinese built vessels, plus other measures to enhance American ship construction and utilization. It will be another ding against U.S. farmers and their export needs.   Aller An...

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From WPI Consulting

Weighing in on strategic realignment

WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.

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