H.R. 2390: Maritime Supply Chain Security Act

This bill, titled the Maritime Supply Chain Security Act, proposes an amendment to existing legislation concerning port infrastructure development. The key points of the bill are as follows:

Purpose of the Bill

The primary aim of this bill is to enhance the ability of U.S. ports to upgrade or replace equipment that currently involves Chinese technology or equipment. This includes specific provisions for funding that targets the replacement of port crane hardware or software that has ties to China.

Amendments to Funding Provisions

The bill seeks to amend Section 54301 of Title 46 of the United States Code, which governs the use of port infrastructure development program funds. The proposed changes include:

• Removing the phrase "including projects to improve port resilience" from the statute.
• Adding new provisions that specify how funds can be utilized, including:
  • Projects aimed at improving the resilience of ports.
  • Projects specifically designated for the upgrade or replacement of port cranes or components thereof. This includes hardware and software that:
  • Were installed or provided by the People's Republic of China (PRC) or any of its governmental agencies.
  • Are maintained, controlled, or sponsored by the PRC or its governmental agencies.

Impact on Port Infrastructure

The bill places a focus on ensuring port equipment is not reliant on Chinese sources, thereby addressing concerns related to national security, operational control, and dependency on foreign technologies. By allowing federal funds to specifically target the replacement of such equipment, the bill aims to enhance the resilience and security of U.S. port operations.

Potential Funding Allocation

Once enacted, the bill would allow for financial allocations for specific projects that meet the outlined criteria, potentially leading to significant upgrades throughout U.S. ports, thereby supporting domestic supply chain security initiatives.

Relevant Companies

• CSX - A major transportation company that could be affected as port infrastructure upgrades may impact shipping and logistics operations.
• UNP - Union Pacific Railroad might see implications in their operations if ports are upgrading technologies affecting rail connections with ports.
• NSC - Norfolk Southern Corporation could also be impacted by changes in port operations affecting freight movement.