Bill · S. 1536· Senate(119-S-1536)
Building Ships in America Act of 2025
- Introduced
- 4/30/2025
- Last activity
- 4/30/2025 — Read twice and referred to the Committee on Finance.
- Sponsored by
- Mark Kelly
- Cosponsors
- - 2 - 2
- Introduced
- In Committee
What this bill would do
The Building Ships in America Act of 2025 aims to strengthen national defense and economic security by updating tax policy. It establishes a new United States Vessel Investment credit to encourage the construction and repowering of cargo vessels in domestic shipyards. The bill also introduces a shipyard investment tax credit for qualified facilities located in the United States. Additionally, it provides incentives for merchant marine capital construction funds and treats maritime prosperity zones as opportunity zones. These measures are designed to support the domestic maritime workforce, ports, and shipyards.
Yes· 3 of 16
Would business owners be better off under this?+5
The bill offers significant tax credits for vessel investment and shipyard facility construction to eligible business owners.
Is this likely to create jobs?+5
The bill incentivizes domestic shipbuilding and shipyard facility investments which are likely to create maritime industry jobs.
Would union members be better off under this?+4
The bill's emphasis on domestic shipbuilding and restrictions on automated cargo equipment that reduces jobs aims to support the maritime workforce.
The opposite
No question was scored the opposite.
Who it would affect, and how
Potential Positive Impacts for People
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Investment in Shipyards: The bill provides a 25 percent credit for qualified investments in shipyard facilities used for constructing or repairing commercial or military oceangoing vessels (Section 7).
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Support for Vessel Construction: Taxpayers can receive a credit for the construction, repowering, or reconstruction of qualified vessels in United States shipyards (Section 2).
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Tax Benefits for Insurance and Design: Vessel owners may increase their investment credit by 5 percent for using approved U.S. insurance companies and by 2 percent for vessels designed according to specific U.S. standards (Section 2).
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Economic Development in Maritime Areas: "Maritime prosperity zones" can be treated as qualified opportunity zones to encourage business and investment in specific census tracts (Section 11).
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Tax-Free Income for Students: Student incentive payments made to individuals under specific maritime agreements are excluded from gross income (Section 9).
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Exclusion of Security Payments: Certain payments made for maritime security are excluded from gross income (Section 3).
Potential Negative Impacts for People
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Penalties for Breaking Agreements: If a taxpayer fails to operate a qualified vessel according to its required agreement, they may face a tax increase of 100 percent of the aggregate decrease in previous credits (Section 2).
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Restrictions on Cargo Equipment: Withdrawals from capital construction funds may be prohibited for purchasing fully automated cargo handling equipment if it results in a net loss of jobs (Section 8).
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Import Restrictions on Equipment: The bill prohibits using capital construction funds to purchase cranes manufactured in the People's Republic of China (Section 8).
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Demographic And Interest Groups
- Good For Business Owners+5Good For Students+4Good For Union Workers+4Good For Rural Residents+3Good For Young Adults+3Good For Low Income Households+2
- Economy And Finance
- Increases Job Creation+5Improves Economic Growth+4Improves Small Business Support+3Reduces Small Business Taxes+3
- National Security And Foreign Policy
- Improves International Trade+3Improves Veterans Benefits+1
- Education And Technology
- Increases Scientific Research Funding+2
- Social Issues And Justice
- Improves Affordable Housing+2
- Environment Energy And Infrastructure
- Improves Roads And Bridges+1
- Governance And Ideology
- Improves Government Transparency+1
- 4/30/2025
- Read twice and referred to the Committee on Finance.
- 4 Cosponsors added.
- Introduced in Senate
One bill Congress.gov lists as related to this one — companions in the other chamber, earlier versions, and bills this one absorbed or was folded into.
Tammy BaldwinDemocrat · Wisconsin
John FettermanDemocrat · Pennsylvania
Lisa MurkowskiRepublican · Alaska
Todd YoungRepublican · Indiana