[EEGator]

Does Sal have thoughts on why US companies fly Marshall Island flags?

[hanamizu]

Does Sal have thoughts on why US companies fly Marshall Island flags?

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Yes, he does as well as other ‘flags of convenience’. However there are U.S. flagged ships transiting the area. The Houthis claimed to have attacked one, but the U.S. denies the attack.

He also has mentioned that an Iranian ship (I don’t remember its name), which has not been to port for over a year has been loitering near the chokepoint, the implication being that it is relaying information of the passage of ships that might be of ‘interest’ to the Houthis. In the last couple of days it has moved into the Gulf of Aden where it is presumably doing the same service.

He is a very good source of info IMHO.

[Paul R.]

IIRC (Sal’s commentary a while back) as opposed to being US flagged I believe it’s cheaper. Overall there’s a favorable tax environment. There’s also more operational freedom (less restrictive regs).