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The death of U.S. Senator Lindsey Graham last month briefly refocused attention on the Ships for America Act, a bill he had co-sponsored just weeks earlier. Officially known as S-1541, the legislation aims to revive the country’s maritime industry, though its progress has faced obstacles.

Introduced in spring 2025, the bill gained traction in April and May 2026, securing bipartisan backing. By late June, it had 24 Senate co-sponsors, including Graham. Senator Mark Kelly, the bill’s original sponsor, wrote in an April editorial that the proposal reflected strong agreement between Republicans and Democrats, industry leaders, and labor groups on rebuilding the nation’s maritime sector.

Military shipbuilding takes center stage

Though the bill was framed around concerns over the decline of U.S. commercial maritime capabilities, most discussions have focused on military shipbuilding. In early July, reports indicated that Washington planners had contacted South Korean yards Hanwha and HD Hyundai to evaluate their potential role in constructing destroyers and other naval vessels for the U.S. fleet.

The bill’s commercial goals have encountered delays. A proposed funding mechanism—a trust fund financed by fees on China-linked commercial vessels at U.S. ports—was shelved in October 2025. A decision on whether to revive the taxes is expected in October 2026.

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Another hurdle involves Jones Act waivers, first enacted in mid-March and renewed in mid-May. The current waiver, set to expire in mid-August, permits foreign-flagged vessels to transport petroleum products between U.S. ports, a job normally reserved for Jones Act-qualified ships. These vessels must be built in the U.S., owned by American companies, and crewed by U.S. mariners. Critics of the waivers argue they weaken maritime security. A recent analysis from the Lexington Institute, a conservative think tank, described the act as an effective way to encourage investment and innovation in domestic shipbuilding.

Infrastructure, not just shipyards, is the bottleneck

Dr. Sal Mercogliano, a maritime historian at Campbell University, has argued that the primary challenge extends beyond shipyards to the supporting industrial base. In a series of posts on X, he explained that high costs and long timelines stem from the erosion of U.S. industrial capacity.

He highlighted workforce shortages as a key issue. “We need to rebuild this system,” Mercogliano wrote. “By constructing ships domestically, we create demand for steel, wiring, piping, and skilled trades like welding and electrical work. These benefits extend to both commercial and naval shipbuilding.” He also stressed the need to attract young Americans to maritime careers.

Supporters of the bill have taken steps to address these gaps. Graham secured $1.5 million in federal funding for a mobile maritime training lab at a technical college in North Charleston, South Carolina. The institution later acknowledged his contribution in a public statement.

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Geopolitical tensions have further complicated the bill’s prospects. With U.S. forces potentially increasing their presence in the Strait of Hormuz, Mercogliano suggested in a YouTube broadcast that public assurances about the strait’s safety might be overly optimistic. The stakes of the Ships for America Act, he noted, involve not only economic recovery but also national security.

The legislation’s future is uncertain. Despite bipartisan support, it has been sidelined by shifting political priorities, funding setbacks, and ongoing debates over the Jones Act. Industry observers are waiting to see if the bill can overcome these hurdles or if it will fade like many proposals before it.

For those interested in the broader impact of manufacturing on national industries, the revival of domestic shipbuilding could serve as a case study in how targeted investment shapes long-term economic resilience.