46 U.S.C. § 55103- Transportation of Passengers
No vessel may transport passengers between ports or places in the United States to
which the coastwise laws apply, either directly or via a foreign port, unless the vessel is:
(1) wholly owned by U.S. citizens and (2) has a certificate of documentation with a
coastwise endorsement or, if exempt from documentation, would otherwise be eligible.

A non-coastwise-qualified vessel may not transport passengers directly between U.S.
coastwise ports or indirectly via several U.S. ports.3
EXAMPLE: A coastwise transportation violation occurs when a passenger
embarks a non-coastwise-qualified vessel in San Francisco and is transported to
Seattle, where the passenger disembarks.
3 19 C.F.R. § 4.80a(b)(1).

The Passenger Vessel Services Act
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U.S. Customs and Border Protection
EXAMPLE: A PVSA violation occurs when passengers embark a non-coastwise-
qualified vessel in Los Angeles and are transported to several Hawaiian Islands
where the passengers go ashore temporarily then return to the vessel and
disembark in Los Angeles.

Between U.S. Points via a “nearby foreign port”
A non-coastwise-qualified vessel may not transport passengers between U.S.
coastwise ports by way of a “nearby foreign port.”7 A “nearby foreign port” is any
foreign port in:
o North America
o Central America
4 33 C.F.R. § 2.22(a)(2).
5 HQ 111275 (Nov. 13, 1990).
6 43 U.S.C. § 1333(a).
7 19 C.F.R. § 4.80a(b)(2). The Passenger Vessel Services Act
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U.S. Customs and Border Protection
o The Bermuda Islands
o The West Indies
o EXCEPTION: Leeward Islands of the Netherlands Antilles,
i.e., Aruba, Bonaire, and Curacao
A port in the U.S. Virgin Islands shall be treated as a nearby foreign port.8
EXAMPLE: A PVSA violation occurs when a non-coastwise-qualified vessel
embarks passengers in Los Angeles, transports them to the Hawaiian Islands and
Ensenada, Mexico, and then proceeds to San Diego where the passengers
disembark. Ensenada, Mexico is a “nearby foreign port”.
NOTE: Application of the PVSA is based on the geographic locations where passengers
“embark” and “disembark”. The transporting vessel’s itinerary, whether the passenger is
a revenue or non-revenue passenger, or how the passenger’s transportation is ticketed,
is irrelevant.
EXAMPLE: The transportation of passengers aboard a non-coastwise-qualified
vessel M/V MAURY on ticket/itinerary from San Francisco, California to
Vancouver, Canada, where the passengers depart the vessel with their luggage in
Vancouver. If the same passengers reboard the M/V MAURY in Vancouver using
different tickets and disembark at any other coastwise port other than San
Francisco, the M/V MAURY would be a violation of 46 U.S.C. § 55103.9
Vessels Qualified to Engage in Coastwise Transportation, Coastwise-Qualified
Vessel
Although CBP determines whether the transportation activities are considered coastwise
trade, whether the vessel itself is qualified to engage in coastwise trade is determined by
the United States Coast Guard, National Vessel Documentation Center (NVDC). The
NVDC determines vessel eligibility for coastwise endorsements and issues certificates of
documentation.10 This section discusses the general requirements that a vessel must
meet in order to be considered “coastwise-qualified.” If a vessel is coastwise-qualified, it
may engage in the coastwise trade, including transporting “passengers” between
coastwise points. In general, a coastwise-qualified vessel must be U.S.-built, owned, and
documented with a coastwise endorsement.
U.S.-built
The vessel must be built in the United States11
8 19 C.F.R. § 4.80a(a)(2).
9 HQ H141177 (Jan. 11, 2011).
10 Questions regarding the eligibility of a vessel for documentation should be addressed to NVDC at the
NVDC website.
11 46 U.S.C. § 12112.