Why the U.S. Still Has No Large Yacht Code

Text us your ideas and feedback!One outdated number has quietly shaped the entire superyacht landscape in the United States: 300 gross tons. Once yachts started exceeding that limit, the law effectively pushed them toward a commercial-style regulatory world that does not match how most private owners actually operate. So why does the US still lack a clear, modern large yacht code and why do so many American-owned yachts end up under Cayman, Marshall Islands, or other offshore registries instead of the US flag?We unpack the real-world consequences of treating a mobile industry like it is fixed in place. When governments add yacht taxes, duties, or tariffs, yachts do what yachts have always done: they move. That movement does not just affect billionaires, it hits marinas, boatyards, fuel docks, restaurants, shops, and the seasonal “mom and pop” businesses that depend on visiting vessels. We also connect the dots between US flag rules, the Jones Act, and the national-interest logic that drives maritime policy, even when the outcome is messy for modern superyachts.Then we get into the surprise 2018 turning point, when Congress attached large-yacht language to the National Defense Authorization Act and tasked the Coast Guard with creating a pathway for certain large yachts to fly the US flag while staying non-commercial. We talk about why implementation has lagged, why so few owners choose the option, and how costs like 1.5% duty and potential double-digit tariffs can wipe out the perceived benefits instantly. Along the way, we explore legal workarounds such as bareboat charter structures and why the only message every legislator consistently hears is economic impact backed by real numbers.If you found this helpful, subscribe, share the episode with someone in yachting or maritime law, and leave a review. What policy change would actually convince more owners to choose the US flag? Have a yacht law question? Email it to [email protected] or [email protected] for your chance to have it answered on our podcast. All requests for confidentiality and/or anonymity are respected.Hiring a lawyer is a big decision. Visit Moore & Company for the legal team's qualifications and experience.  And, to learn the latest about superyacht launches, shipyards, designs, and destinations, visit Megayacht News.