Fri Feb 21 21:40:00 UTC 2025: ## Trump Administration to Crack Down on Cruise Lines Over Tax Avoidance, Says Commerce Secretary
**Miami, FL** – Newly appointed Commerce Secretary Howard Lutnick has announced a looming crackdown on major cruise lines, alleging widespread tax evasion. Appearing on Fox News, Lutnick claimed that companies like Royal Caribbean, Norwegian Cruise Line (NCL), and Carnival Corporation avoid paying US taxes by registering their ships in countries with more lenient tax laws, despite being headquartered in the US.
Lutnick’s statement, which cited the absence of American flags on cruise ships and their registration in countries like Liberia and Panama, triggered a significant drop in stock prices for the three mentioned cruise lines.
The Cruise Lines International Association (CLIA) swiftly refuted Lutnick’s claims, stating that cruise lines pay nearly $2.5 billion in US taxes and fees annually – representing 65% of their total global tax burden. CLIA emphasized that the taxation of foreign-flagged ships visiting the US mirrors the treatment of US-flagged ships in foreign ports.
The administration’s planned action marks a potential major shift in the cruise industry’s tax landscape. The specifics of the impending crackdown remain unclear, but the announcement has already sent shockwaves through the sector.
First Piper 