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Showing posts with label Passenger Vessel Services Act. Show all posts
Showing posts with label Passenger Vessel Services Act. Show all posts

Saturday, June 14, 2025

What will the near future bring for cruising?

 


Peggy's Cove, NS.  It's a must do shore excursion for people sailing the New England / Coastal Canada route. I've been there several times, and always like stopping there for a photo shoot.  It's more crowded now than it used to be, due to all of the ships that make it into Halifax, NS.  Yet, it's worth the time it takes to get there.

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As I write this, domestic political considerations may affect cruising from the USA. We've seen reports of a Canadian held by ICE for two weeks without good reason.  Visitors and "Green Card" holders are being detained or refused entry, all due to the President's crackdown on illegal immigration.  There is no such thing as "Due Process" anymore, and foreign governments are now advising their citizens to avoid the US.

An Alaskan senator is now calling for eliminating the Jones Act/Passenger Vessel Services Act requirement for cruise ships to stop at foreign ports on trips to/from Alaska. There are 3 acts being proposed by a Hawaiian congressman to eliminate the burdens imposed by the Jones act on places such as Alaska, Hawaii, Guam and Puerto Rico.  Assuming these challenges to the Jones act succeed, I see the possibility of the growth in East and West coast cruising, as many of the major cruise lines might be free to sail Hawaiian and Alaskan cruises on their foreign flagged ships, as well as new East Coast cruise options being provided by ships now making stops in the Caribbean, Bermuda, the Bahamas.  

The big question for me is: What will happen with cruises bound for Eastern Canada?  Considering how Canadian people and businesses are boycotting US goods, will we end up seeing Canada ban ships bound from the US from stopping at their ports?  This will be a major problem for the cruise industry, as these are vey popular cruises.

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Even with American politics going off the deep end and our President starting an unwarranted trade war with little to gain from it so far, foreigners still love the American people for the most part.  They are perplexed about why we elected someone who wants to be king. They are surprised to see the America holding a military parade in the nation's capital, only to stroke the ego of the man who holds the office of President. In short, they are against today's American government and what it "stands for", but still respect the American people for the nation we have built over the past 248 years.

Why is this important?  Foreigners have no problem accepting business from the American people as individuals.  They are simply responding to our President's inexplicable actions by trying to punish Trump friendly areas by using the power of the boycott. As noted earlier, Canadians are avoiding vegetables and fruits grown in America, and are now buying these products from other nations.  In addition, the province of Ontario has cut off electricity supplies to New York, as the Northwestern part of the state supported our current president.  Foreign nations and their citizens are simply trying to tell our government to stop this nonsense by doing as little business with us as possible - including not taking their vacations inside America, nor traveling through America for their vacations.

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I consider America's current trade and immigration policies to be insane, as does much of the world. This will likely affect the cruise industry.  Even though three major cruise line's ships are all foreign flagged vessels (save one based in Hawaii), their holding corporations are all based in the USA.  Will foreigners boycott sailings on these ships because of US policies?  I think so.  But it will take time for prices to drop.  People who have paid for their cruises less than 4 months ago are stuck - they either go on their cruises, or lose the money they paid for these cruises.  This likely means that we will see cruise prices drop within 4 months from now, as foreigners will be cancelling cruises already booked in advance of final payment dates, so that they can get most of their money back from the cruise lines.

My advice: Wait a few months before booking a cruise. Given the lack of consumer confidence in the American economy and the likelihood of cruise price drops, I feel that there will be bargains to be had sometime before the start of winter.  Hopefully, we will all be able to pick up some great deals then.

Thursday, February 15, 2024

Comparing two Hawaii Cruises is like comparing Apples to Oranges

 



A common theme comes up in Facebook's NCL Pride of America 7 days in Hawaii group - why does this cruise cost so much and is the cruise worth what is charged for it?  As I see it, you get what you pay for with a Pride of America (POA) cruise.

To compare "apples to apples" as much as possible, I will compare two separate Hawaii cruises which will be cruising the islands at the same time in October 2024. One is a typical POA cruise out of Honolulu, and the other is a typical non-POA cruise from the mainland. However, I have chosen the only cruise from the mainland which includes 6 port days in Hawaii to give as a good comparison as possible.

Example:

10/05/24 - HAL Konigsdam cruise, Vancouver, BC roundtrip. (17 nights) Inside Cabin Fare: $1700/pp (Base) / $2799 /pp ("Have it All")                  Two days each on three islands: 
2- Oahu, 2- Hawaii (1 - Kona & 1 -Hilo), 2-Kauai.
vs.
10/12/24 - NCL Pride of America cruise, Honolulu, HI roundtrip. (7 nights)                  Inside Cabin Fare: $1849/pp (Both Base & "Free at Sea")
                 Two days each on three islands:  2- Oahu, 2- Hawaii (1 - Kona & 1 -Hilo), 2-Kauai.

The HAL cruise has to take an extra 10 days to cruise from the North American mainland over choppy seas to reach Hawaii then return to its home port. This is due to requirements imposed by the US Jones Act and the US Passenger Vessel Services Act. These acts require ships sailing solely between US ports be American built, flagged and staffed. The NCL cruise allows a person to bypass these extra sea days because it meets these requirements and it allows the cruiser to book extra land time in Hawaii - which is what I'd do on Oahu, so I could see sights on Hawaii's most populous island.. Additionally, on POA, one gets to spend 2 days in Maui, an island that the HAL cruise bypasses.

Unlike a foreign flagged ship, all American safety and labor laws apply on this ship. This explains (in part) why a 7-day cruise on POA costs more than a similar 7-day cruise on a foreign flagged ship sailing another route, such as in the Caribbean. Since POA also has to provision itself in Hawaii, all of its food, fuel, and other supplies cost more, as these goods must be shipped from the mainland (on American flagged ships) making them cost more than if they could be provisioned at mainland ports.

POA is an older ship, and is very well maintained for ships built in the mid '00s. It doesn't have a casino to subsidize cruise fares. It's a blessing not to walk through a smoke-filled casino to get to other parts of the ship. POA oozes America through its pores. (I won't go into many of the little details that justify this statement. People who have cruised on POA will understand this.) Unlike the ships coming from the mainland, POA should be treated as a floating hotel (with free meals). It is not a resort that floats from port to port. As such, POA provides good value for money spent. But it is not cheap. One is able to get a more Hawaii-intensive cruise on POA, especially when coupled with 2 or more land days before or after the cruise.

It may be cheaper for people to fly to Vancouver than to fly to Honolulu, but one will need a passport to do so. Even with more expensive airfare, I think two people could still have more Hawaii time for the extra $950/pp difference in the premium rates, if they were to take some of the savings to spend an extra 3 days in Honolulu and see the sights there. (10-Day POA Cruisetour anyone?) Please note that most cruises from mainland ports (San Francisco, Los Angeles, and San Diego) are usually shorter and spend less time in Hawaii. Does it make sense to spend more time at sea than one would spend in Hawaii?

I have been called a very frugal person. Would I choose the POA cruise over one from the mainland? YES! YES! YES! Anyone taking the POA is making a trade-off, exchanging money for more Hawaii. Hopefully, I'll be able to go there again soon, this time with my girlfriend.