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15 April 2025

FMC Launches Special Investigation To Protect Hazmat Exporters From Potential Discrimination

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The Federal Maritime Commission has launched Special Investigation Number 26-01 to examine whether vessel-operating common carriers are engaging in discriminatory practices against U.S. exporters and service providers...
United States Transport
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The Federal Maritime Commission (FMC or Commission) issued an Order Initiating Nonadjudicatory Investigation (Order), launching Special Investigation Number 26-01 on April 15, 2026. The investigation will examine whether vessel-operating common carrier (VOCC) practices relating to hazardous cargo, including but not limited to radioactive cargo, discriminate against U.S. exporters and service providers. The scope of the investigation covers VOCC practices related to Commission-licensed non-vessel-operating common carriers (NVOCCs), among other exporters. The Commission's Bureau of Enforcement, Investigations and Compliance (BEIC) will conduct the investigation on the FMC's behalf.

At this initial stage, the purpose of Special Investigation Number 26-01 is twofold. First, the investigation seeks to gather information from 11 enumerated VOCCs concerning their rules and practices related to their acceptance of hazardous cargo, including radioactive cargo, to or from the U.S. Second, the investigation will gather information on whether the VOCCs have any exclusive agreements for the packaging, shipment or preparation for transportation of hazardous cargo, such as radioactive cargo, to or from the U.S. and, if so, whether such agreements 1) are just and reasonable regulations or practices, 2) are unreasonable refusals of cargo space where available or another unfair or discriminatory method, and/or 3) constitute unreasonable refusals to deal or negotiate with respect to vessel space accommodations.

In addition to seeking information from the VOCCs identified in the Order, the Commission notes that it may also seek information from other ocean carriers, marine terminal operators, NVOCCs, ocean transportation intermediaries (OTIs) and other nonregulated stakeholders in the ocean transportation system.

Special Investigation Number 26-01 represents the most recent exhibition of the Commission's concerted efforts to use its investigative powers to address potential discriminatory practices of ocean carriers that may violate the provisions of the Shipping Act, as well as the FMC's intentional focus on protecting U.S. exporters.

Holland & Knight will continue to monitor developments and remains available to assist clients in connection with Special Investigation No. 26‑01 and any other inquiries related to FMC investigations.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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