Chuck Grassley: “What is striking about this table is the extent of the vast array of sealift capacity that will be available to the…”

“What is striking about this table is the extent of the vast array of sealift capacity that will be available to the United States in the event that H.R. 1350 subsidies are not passed. I want my colleagues to note in particular the large number of vessels available to us. These vessels are what we call ``effective U.S.-controlled vessels,'' and they include vessels that are owned by American companies. Foreign flags are reliable. First of all, keep in mind that many foreign-flag vessels are actually owned and controlled by American companies. They flag foreign, they flag under a foreign nation primarily to avoid the unbearable cost of the high salaries and benefits of U.S. seafarers. Foreign-flag vessels delivered about 50 percent of all cargo in the Persian Gulf war. Nearly 200 foreign ships were chartered from 36 nations. Only one ship loaded under DOD contract did not complete its voyage. The handful of small foreign feeder problems were the result of contract disputes with U.S.-flag carriers, not foreign flags. But far more important is the fact that Congress has already funded the Department of Defense's wartime sealift requirements. Congress provided over $7 billion in the 1980's and will provide another $10 billion in this decade to meet the Department of Defense's unique strategic sealift requirements.”