Trump Temporarily Waives U.S. Shipping Law to Stabilize Oil Market
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 18 2026
0mins
Source: CNBC
- Shipping Law Waiver: President Trump announced a 60-day waiver of the Jones Act to stabilize the oil market amid the Iran war, allowing vital resources like oil and natural gas to flow freely to U.S. ports, thereby alleviating supply chain pressures.
- Market Reaction: Following the waiver announcement, Brent crude prices surged over 6% to exceed $109 per barrel, while U.S. oil prices rose 2.95% to $99.05 per barrel, indicating a positive market response to the stabilization of supply chains.
- Policy Background: The Jones Act, enacted in 1920, mandates that goods transported between U.S. ports must be carried by U.S. vessels; this waiver challenges the protectionist nature of the law, reflecting economists' criticisms that it hinders domestic trade.
- Supply Chain Commitment: The White House press secretary stated that the Trump administration is committed to strengthening critical supply chains, indicating a desire to ensure energy supply stability amid attacks on global energy infrastructure.
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Analyst Views on CVX
Wall Street analysts forecast CVX stock price to fall
19 Analyst Rating
15 Buy
4 Hold
0 Sell
Strong Buy
Current: 211.150
Low
158.00
Averages
176.95
High
206.00
Current: 211.150
Low
158.00
Averages
176.95
High
206.00
About CVX
Chevron Corporation is an integrated energy company. The Company produces crude oil and natural gas; manufactures transportation fuels, lubricants, petrochemicals and additives; and develops technologies that enhance its business and industry. The Company’s segments include Upstream and Downstream. Upstream operations consist primarily of exploring for, developing, producing and transporting crude oil and natural gas; liquefaction, transportation and regasification associated with LNG; transporting crude oil by major international oil export pipelines; processing, transporting, storage and marketing of natural gas; carbon capture and storage; and a gas-to-liquids plant. Downstream operations consist primarily of the refining of crude oil into petroleum products; marketing crude oil, refined products, and lubricants; manufacturing and marketing of renewable fuels, and transporting of crude oil and refined products by pipeline, marine vessel, motor equipment and rail car.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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See More
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See More
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- Impact of Surging Oil Prices: Global Brent crude prices have surged above $115 per barrel due to the ongoing Iran war, exacerbating inflation concerns and prompting investors to question whether the Fed might tighten monetary policy again despite signs of slowing growth.
- Historical Lessons: Goldman Sachs highlights the cautionary tale of the 1990 oil shock, where markets initially anticipated a hawkish Fed response but ultimately saw rate cuts as economic conditions worsened, suggesting that current market pricing may be misaligned with historical precedents.
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See More
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- Climate Disaster Effects: The cyclone is estimated to have disrupted Australian LNG supply by over 30 million metric tons per year, and combined with the shocks from the Middle East conflict, over 25% of global LNG supply has been disrupted, exacerbating market tensions.
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See More
