Honolulu Vibes

The Jones Act’s Impact on Hawaii: How Shipping Laws Drive Up the Cost of Living

The Jones Act’s Impact on Hawaii: How Shipping Laws Drive Up the Cost of Living
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The Jones Act: How It Impacts Life for Our Oahu Family

As a family living on Oahu, we cherish the beauty of our island home, but we also face the reality of Hawaii’s high cost of living. From our weekly grocery runs to filling up the gas tank, the prices we pay are significantly higher than those on the mainland. While living in paradise has its perks, there’s a lesser-known law contributing to the inflated costs of everyday life: the Jones Act.

This century-old law, part of the Merchant Marine Act of 1920, was originally designed to protect the U.S. maritime industry, ensuring that goods transported between U.S. ports are carried on American-made, American-owned, and American-operated ships. However, while its intent was to bolster national security and the economy, the Jones Act has had a significant impact on Hawaii’s economy, and families like ours are feeling the effects.

The Jones Act: How a Century-Old Law Is Driving Up the Cost of Living in Hawaii. Photo Ronen Zilberman

How the Jones Act Affects Our Family’s Budget

Living in Hawaii means that nearly everything—food, clothing, household items, and even the materials to repair our home—comes from somewhere else. Since the Jones Act limits shipping to U.S.-flagged vessels, we’re left with fewer, more expensive options for transporting goods to our islands. This drives up the cost of the basics, from the milk we buy at the grocery store to the gas that powers our car.

The price of fuel is one of the biggest burdens for families like ours. Because Hawaii relies on imported oil for most of its energy, the high cost of shipping affects the price of gas and electricity. We’ve seen it reflected in our utility bills, which seem to climb higher every year.

A Monopoly on Shipping

One of the toughest parts for us to accept is that the limited competition created by the Jones Act means that a small group of U.S.-flagged shipping companies control the market. This lack of competition leaves little room for price cuts or efficiency improvements. International ships that might pass through the Pacific can’t make a quick stop in Hawaii without violating the Jones Act, which further limits our options. As a result, everything costs more, and we, along with other local families, are left to foot the bill.

A Matson container ship sits in Honolulu harbor while its cargo is unloaded. (Honolulu Vibes photo Ronen Zilberman)

The Debate for Change

While the Jones Act is meant to protect American jobs and ensure national security, it’s becoming clear that the burden it places on Hawaii outweighs the benefits. Many of our local leaders and residents are calling for reforms—whether that’s an exemption for Hawaii or loosening the restrictions to allow foreign ships to carry goods to our state. For families like ours, these changes could bring relief by lowering the cost of essentials and giving us access to more affordable shipping options.

Looking Ahead

It’s frustrating to know that a law designed to help the U.S. has become a source of financial strain for Hawaii residents. As we continue to deal with the high costs of living, we hope that the conversation around the Jones Act leads to meaningful reform. Until then, we’ll keep doing what we can to make ends meet while cherishing the unique beauty and community that make Oahu our home.

For now, when we see rising prices at the store or gas pump, we know that part of the blame lies with the century-old Jones Act—a law that affects everything from the food we put on the table to the gas we use to get around this island paradise.

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