PRESS RELEASE: GARAMENDI, COSTA, GROUNDWORK COLLABORATIVE HIGHLIGHT HOW OCEAN SHIPPING BILL WILL LOWER COSTS, BOOST ECONOMY 

FOR IMMEDIATE RELEASE
June 14, 2022

Contact: 
Jack Miller, Communications Director
[email protected]mericanow.com

GARAMENDI, COSTA, GROUNDWORK COLLABORATIVE HIGHLIGHT HOW OCEAN SHIPPING BILL WILL LOWER COSTS, BOOST ECONOMY 

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Rep. John Garamendi: “We’re going directly after a major inflation issue: lowering the cost of transportation, in this case the transportation of goods.”

Rep. Jim Costa: “We believe in fair trade, but fair trade requires a level playing field. When we can’t get containers to put our products in and export them, then something’s wrong.”

Economist Dr. Rakeen Mabud: “The passage of the Ocean Shipping Reform Act is an important step towards tackling the large ocean shipping corporations that are stoking inflation and gumming up critical points in our supply chain.”

WASHINGTON, DC — Today, Rep. John Garamendi (D-CA), Rep. Jim Costa (D-CA) and Groundwork Collaborative’s Dr. Rakeen Mabud joined a press call hosted by Invest in America to discuss the passage of the bipartisan Ocean Shipping Reform Act, an effort led by Rep. Garamendi.

The speakers emphasized the importance of the bill in solving critical supply-chain issues, increasing American exports, and lowering the costs that Americans pay for goods, which will ease the economic burden of rising prices.

Watch the recording here.

The following are statements from the call:

Rep. John Garamendi (D-CA):

“It was exactly one year ago that the issue came to us: the California exporters couldn’t get a container, if they could get a container they couldn’t get it on a ship, and if they could get it on a ship the cost was through the roof. The Ocean Shipping Reform Act came into place to empower the Federal Maritime Commission to actually carry out its purpose, regulating and creating a fair import and export marketplace. We’re going directly after a major inflation issue: lowering the cost of transportation, in this case the transportation of goods.

Rep. Jim Costa (D-CA):

“We believe in fair trade, but fair trade requires a level playing field. When we can’t get containers to put our products in and export them, then something’s wrong. It was clear that the Federal Maritime Commission’s ability to assist in solving this problem was limited. We’ve worked on that effort, with legislation that’s passed overwhelmingly in the House and Senate, and we hope will be signed into law by the President before the end of this week.”

Rakeen Mabud, Chief Economist & Managing Director of Policy and Research at Groundwork Collaborative:

“In the first quarter of 2022, the global ocean shipping oligopoly earned a record-breaking $59.3 billion in profits, and they expect to earn nearly four times that over the coming year. The bill’s provision to re-regulate the ocean shipping industry will help level the playing field for small businesses, who are less able to negotiate favorable shipping rates or weather cost spikes than mega-corporations. The passage of the Ocean Shipping Reform Act is an important step towards tackling the large ocean shipping corporations that are stoking inflation and gumming up critical points in our supply chain.”

About Invest in America

Invest In America is a national rapid response operation advocating for robust public investment to rescue the economy from the COVID crisis and create prosperity for the future, and to fight back against fear-mongers who use deficit concerns as a scapegoat to starve American communities and businesses of resources.

The operation consists of two components: Invest in America, the charitable and public education arm, which is a fiscally sponsored project of Economic Security Project funded by the William and Flora Hewlett Foundation and Economic Security Project co-chair Chris Hughes; and Invest in America Action, the advocacy and social welfare arm, which is a fiscally sponsored project of Economic Security Project Action funded by Chris Hughes and the Omidyar Network.

Learn more at InvestInAmericaNow.com and @InvestNowUSA, and InvestinAmericaProject.com.

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