Two newbuildings set for use in the Pasha Group's Hawaii trade have received the OK to fly the US flag.
The US Coast Guard's National Vessel Documentation Center has affirmed that the George III and Janet Marie — both LNG-fueled 2,525-teu containerships due to be delivered to the California company in 2020 after completion by Keppel AMFELS — qualify as American-built under the Jones Act.
"I confirm that Keppel's proposed procurement and build details for the vessels ... will not adversely affect their status as having been built in the United States" and their ability to operate in coastwise trade, center Director Christina Washburn wrote in a letter dated 6 March.
At issue were foreign components, as US law requires domestic trade be carried out by ships built domestically. First was foreign steel imported to Keppel's Brownsville, Texasm yard that for use as plates and angles. Second were doors, hatches manhole covers and other components built abroad for use in the ship.
In written reply to a Pasha attorney, Washburn in both cases said the components were permissible.
The steel was deemed acceptable as pieces were being fabricated from it on-site and the components since they weighed a total of 41.07 tonnes. That figure makes up considerably less than the 1.5% foreign component weight limit that would total 155.9 tonnes for each ship.
"We were confided this would be the result, and expected to receive this standard U.S. shipbuilding due-diligence confirmation from the US Coast Guard," a statement from Pasah read.
The ships were first ordered in August 2017 and the first steel plates were cut in the fall. Factory acceptance testing on engines for both vessels were completed last week.
When finished the ships, named after the parents of Pasha's chief executive George Pasha IV, will carry cargo between the US mainland and Hawaii.
