[ KSA Accused US government’s Steps To Increase ]

KSA Accused US government’s Steps To Increase Tax Burdens against All
Foreign Carriers

Korean national flag carriers denounced the USA’s steps to levy tax for
all the foreign flag carriers by the Maritime Administration based
on the Promotional Act of 1994 which has been under close debate in the
House of Representatives.
Accoding to Korea Shipowner’s Association, they expressed an opposition
against any attempted increase in the tonnage dues and introduction
of fuel tax, which are to be earmarked for subsidy funds for U.S. liner
fleet.
“Because more than 75 percent of all cargo shipments to and from the
United States are made by forgien carriers, the majority of these tax
burdens would be borne by the foreign carriers, including Korean ca-
rriers” KSA’s official said.
The objective of the bill is that a strong and competitive United States
merchant fleet should be maintained for strong U.S. economy and global
security.
According to KSA’s own statistics , its members have paid $3.8 million
in total for the fiscal year of 1993.