Regulation 46 CFR ยง 67.19 explains that, โA coastwise endorsement entitles a vessel to employment in unrestricted
coastwise trade, dredging, towing, and any other employment for which a registry or fishery endorsement is not required.โ
In plain terms, 46 CFR ยง 67.3 explains that, โCoastwise trade includes the transportation of passengers or merchandise between points embraced within the coastwise laws of the United States.โ Again, it is important to remember that the design of a vessel does not necessarily indicate a vesselโs engagement in a particular activity.
All vessels used in a commercial manner in the open waters of the United States, including private charter vessels, will likely require a Coastwise Endorsement.
If you wish to add a Coastwise Endorsement to your US Coast Guard Vessel Documentation, you may proceed to the webform below to submit your application:
https://unitedstatesvessel.us/change-endorsement-trade-indicator/
Coastwise refers to a route not more than 20 nautical miles offshore on any of the following waters:
(1) Any ocean.
(2) The Gulf of Mexico.
(3) The Caribbean Sea.
(4) The Gulf of Alaska.
(5) The Bering Sea.
(6) Such other, similar waters as may be designated by the District Commander.
Coastwise Endorsements carry vessel build restrictions as set forth in 46 CFR Title 67:
ยง 67.19 Coastwise endorsement.
(a) A coastwise endorsement entitles a vessel to employment in unrestricted coastwise trade, dredging, towing, and any other employment for which a registry or fishery endorsement is not required.
(b) If eligible for documentation and not restricted from coastwise trade by paragraph (c) or (d) of this section, the following vessels are eligible for a coastwise endorsement:
(1) Vessels built in the United States (ยง 67.97);
(2) Forfeited vessels (ยง 67.131);
(3) Vessels granted coastwise trading privileges by special legislation (ยง 67.132);
(4) Wrecked vessels (ยง 67.133);
(5) Captured vessels (ยง 67.134); and
(6) Vessels purchased, chartered, or leased from the Secretary of Transportation by persons who are citizens of the United States (46 U.S.C. 57109).
(c) A vessel otherwise eligible for a coastwise endorsement under paragraph (b) of this section permanently loses that eligibility if:
(1) It is thereafter sold in whole or in part to an owner:
(i) Not a citizen as defined in subpart C of this part, or
(ii) Not a person permitted to document vessels pursuant to 46 CFR part 68;
(2) It is thereafter registered under the laws of a foreign country;
(3) It undergoes rebuilding as defined in ยง 67.177 outside of the United States; or
(4) It is a crude oil tanker of 20,000 deadweight tons or above, and after October 17, 1978, has segregated ballast tanks, a crude oil washing system, or an inert gas system installed outside of the United States as defined in ยง 67.3.
(d) A vessel otherwise eligible for a coastwise endorsement under paragraph (b) of this section loses that eligibility during any period in which it is:
(1) Owned by a corporation which does not meet the citizenship requirements of ยง 67.39(c);
(2) Owned by a partnership which does not meet the citizenship requirements of ยง 67.35(c); or
(3) Mortgaged to a person not identified in ยง 67.233(b).
[CGD 89-007, CGD 89-007a, 58 FR 60266, Nov. 15, 1993; 58 FR 65131, Dec. 13, 1993, as amended by CGD 94-008, 59 FR 49846, Sept. 30, 1994; CGD 94-040, 61 FR 17815, Apr. 22, 1996; USCG-2002-13058, 67 FR 61278, Sept. 30, 2002; USCG-2009-0702, 74 FR 49230, Sept. 25, 2009; USCG-2016-0531, 82 FR 43863, Sept. 20, 2017]