Operating Differential Subsidies -- Paid to U.S. ship companies to make up the difference between their labor and operating costs and those of foreign lines, which are two to six times less expensive. $7.3 billion paid since 1936. Cost $380 million last year.
Title 11 Loan Guarantees -- The government backs private bonds floated for ship construction, up to 85 percent of cost, and pays off the loans in event of default. $11 billion in loans guaranteed since 1938; more than $7 billion still outstanding.
Construction Differential Subsidies -- Paid to ship operators for up to half the cost of having ships built in the United States. $3.8 billion paid since 1936; program suspended in 1981.
Build-Abroad Authority -- A one-time exemption in 1981-82 that allowed companies to receive operating subsidies for ships built abroad. Thirty-six ships were approved; Reagan administration wants to make program permanent.
Cargo Preference -- A 1954 law that reserves half of all government cargo for U.S.-flag ships, with federal agencies making up difference between U.S. and foreign shipping costs. Most prominent program affected is Food for Peace. A 1904 law also requires all U.S. military cargo to be moved on American ships.
Jones Act -- A 1920 law that reserves all cargo carried between two U.S. ports for American ships. Major cargo is now shipments of Alaskan oil.
Capital Construction Fund -- Ship companies allowed to defer paying taxes on money deposited in the fund if withdrawals are used build or modernize U.S. ships. $3.7 billion deposited since its creation in 1971 and $2.8 billion withdrawn.
War Risk Insurance -- The Maritime Administration insures ships, cargo and seamen against risks resulting from warlike actions when reasonably priced private insurance is not available.