The Federal Maritime Commission (FMC) is closing its investigation into Canadian ballast water regulations affecting U.S. vessels in the Great Lakes, but will continue a broader investigation into the overall impact on U.S. shipping.
The FMC initiated this investigation to examine whether new Canadian regulations on ballast water treatment systems were negatively affecting U.S.-flagged vessels operating exclusively in the U.S.-Canada Great Lakes trade. Specifically, six U.S.-flagged vessels were expected to be affected by these new Canadian rules starting in September 2023. The issue was whether the Canadian regulations violated U.S. law, specifically 46 U.S.C. § 42302(a), which is related to fair treatment of U.S. shipping in international trade.
However, since the six vessels in question have either been exempted by the Canadian government or found not to need compliance with the new regulations this year, the FMC decided there is no longer an immediate need for action under this specific investigation. Therefore, the FMC has closed this investigation.
The reason the first investigation is closed is because of changes in the situation. The six vessels involved will not have to comply with the new Canadian ballast water rules for now. Canada has either exempted them or determined they do not need to comply this year. As a result, there is no immediate need for the FMC to intervene or make changes to Canadian policy in this regard.
While the first investigation is closed, the FMC is continuing a separate, broader investigation that was initiated in 2020. This ongoing investigation is examining how U.S.-flagged vessels operating in the Great Lakes are treated under Canadian ballast water regulations and other factors that could create unfair conditions for U.S. ships. This investigation is broader because it includes all U.S.-flagged vessels in the Great Lakes, not just the six affected by the new Canadian regulations.
