US weighs sanctions as Spanish port ban escalates

Regulators seek public input on countermeasures against ally

FMC wants public input on retaliatory options in escalating port dispute with Spain. (Photo: Jim Allen/FreightWaves)
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Key Takeaways:

  • The U.S. Federal Maritime Commission (FMC) is considering formal countermeasures against Spanish-linked shipping after Spain denied docking privileges to U.S.-flagged vessels.
  • Spain's actions are part of a recently codified policy to ban ships carrying weapons bound for Israel or fuel for the Israeli military from using Spanish ports.
  • Potential remedies include imposing per-voyage fines up to $2.3 million, restricting cargo types, limiting voyages to or from U.S. ports, or denying entry to Spanish vessels.
  • The FMC is currently soliciting public feedback on these proposed remedial actions to address the "unfavorable conditions" created for U.S. foreign commerce.
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WASHINGTON — One year after launching an investigation into Spain’s refusal to dock U.S. vessels, the Federal Maritime Commission is now weighing formal countermeasures – including per-voyage fines and cargo restrictions – against Spanish-linked shipping.

The initial probe began in late 2024 following reports that two containerships enrolled in FMC’s Maritime Security Program – which provides financial support to U.S.-flagged ships in exchange for shipping capacity – and a Danish-flagged general cargo ship were denied docking privileges in Spain.

Updated information from “multiple sources,” according to an FMC notice posted on Friday, confirmed that Spain refused docking privileges at APM terminals in Algeciras, Spain in November 2024 to three U.S. flagged vessels operating under the MSP: Maersk Denver, Maersk Nysted, and Maersk Seletar.

Spain has since codified a “multi-faceted policy,” FMC asserted in its notice, to ban ships and aircraft carrying weapons bound for Israel or tankers carrying fuel for use by the Israeli military from using Spanish ports and airspace.

Signaling an escalation in the maritime dispute between the two countries, the FMC is now soliciting public feedback on specific remedial actions to counterbalance these restrictions, citing “unfavorable conditions” to U.S. foreign commerce.

“Remedies the commission can implement to adjust or meet unfavorable conditions to shipping in the foreign trade of the United States include adopting regulations restricting voyages to or from U.S. ports, imposing per voyage fees, limiting amounts or types of cargo, or taking ‘any other action the commission finds necessary and appropriate to adjust or meet any condition unfavorable to shipping the foreign trade of the United States’,” the FMC stated in its notice, citing federal regulations.

Federal regulations allow for fines of up to $2.3 million per voyage.

“The commission may also request the Secretary of the Department of Homeland Security to refuse entry or clearance to vessels, collect fees imposed by the commission, or detain a vessel about to depart from a U.S. port.”

The initiation of the investigation generated over 8,000 comments last year. FMC is now giving the public 60 days to provide more information on the investigation and to help determine whether or not to impose sanctions.

The agency is asking specifically for:

  • Additional confirmed reports of Spain – or any private sector entity – directly or indirectly refusing port access or docking privileges to any vessels, including U.S. flag vessels, transporting cargo on routes bound for or coming from Israel.
  • Reasons stated by Spain or any private sector entity for refusing port access or docking privileges.
  • Whether the refusal(s) were absolute or conditional, and whether alternatives or options were offered.
  • Information on the impact any such refusals or denials had on vessel routes, schedules, transfer of cargo to other vessels or ports other than designated destinations, or on maritime commerce generally.

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John Gallagher

Based in Washington, D.C., John specializes in regulation and legislation affecting all sectors of freight transportation. He has covered rail, trucking and maritime issues since 1993 for a variety of publications based in the U.S. and the U.K. John began business reporting in 1993 at Broadcasting & Cable Magazine. He graduated from Florida State University majoring in English and business.