Cabotage Laws

Cabotage laws are regulations that restrict the transportation of goods or passengers between ports within a country to vessels or carriers registered there. These laws aim to protect domestic industries, ensure safety, and support local employment by limiting foreign control over internal trade routes. For example, a foreign ship cannot operate solely between two ports of the same country unless certain exceptions apply. While they help promote local economies, these laws can also impact international trade by adding restrictions and potential costs.