Coastwise Transportation; 46 U.S.C. § 55103

HQ H175477 July 19, 2011 VES-3-02-OT:RR:BSTC:CCI H175477 LLB CATEGORY: Carriers Mr. Luis S. Kohls Ocean Agencies, Inc. 655 South Orcas Street, Suite 213 Seattle, WA 98108 RE: Coastwise Transportation; 46 U.S.C. § 55103 Dear Mr. Kohls: This letter is in response to your July 18, 2011, correspondence in which you inquire about the coastwise transportation of the individual mentioned therein aboard the M/V WESTWOOD CASCADE. Our decision follows. FACTS The voyage in question involves the transportation of the subject individual aboard the non-coastwise-qualified M/V WESTWOOD CASCADE (the “vessel”). The individual will embark in Everett, Washington on July 20, 2011 and will be disembarking in Vancouver, Canada on July 22, 2011. ISSUE Whether the use of a non-coastwise qualified vessel in the voyage described above constitutes an engagement in the coastwise trade in violation of 46 U.S.C. § 55103. LAW and ANALYSIS Generally, the coastwise laws prohibit the transportation of passengers or merchandise between points in the United States embraced within the coastwise laws in any vessel other than a vessel built in, documented under the laws of, and owned by citizens of the United States. Such a vessel, after it has obtained a coastwise endorsement from the U.S. Coast Guard, is said to be “coastwise qualified.” The coastwise laws generally apply to points in the territorial sea, which is defined as the belt, three nautical miles wide, seaward of the territorial sea baseline, and to points located in internal waters, landward of the territorial sea baseline. See 33 C.F.R. § 2.22(a)(2)(2011). The coastwise law applicable to the carriage of passengers is found in 46 U.S.C. § 55103 which provides: (a) In General. Except as otherwise provided in this chapter or chapter 121 of this title, a vessel may not transport passengers between ports or places in the United States to which the coastwise laws apply, either directly or via a foreign port, unless the vessel- (1) is wholly owned by citizens of the United States for purposes of engaging in coastwise trade; and (2) has been issued a certificate of documentation with a coastwise endorsement under chapter 121 or is exempt from documentation but would otherwise be eligible for such a certificate and endorsement. (b) Penalty. The penalty for violating subsection (a) is $300 for each passenger transported and landed. Based on the facts you provided, the coastwise laws are inapplicable to the subject individual’s voyage. Although the subject individual will embark the vessel at Everett, Washington, a U.S. port, the individual is disembarking at a foreign port, i.e., Vancouver, Canada. Therefore, the subject individual will not be in violation of the coastwise laws insofar as his transportation does not involve disembarkation at a coastwise port. HOLDING The use of a non-coastwise qualified vessel in the voyage described above does not constitute an engagement in the coastwise trade in violation of 46 U.S.C. § 55103. Sincerely, George Frederick McCray Supervisory Attorney-Advisor/Chief Cargo Security, Carriers and Immigration Branch Office of International Trade, Regulations & Rulings