I’ve never been expert in the area and am pretty rusty on the details that I’ve bumped into over the years ... but I have the notion that the issue is not U.S. taxes. The issue goes back to the Jones Act and has expanded over the years to include U.S. labor law and the regulatory and litigation climate.
We do a lot of things apart from taxes to drive industries offshore.
I believe you are correct, sphinx. The United States has done quite a bit to destroy its own merchant marine. Taxes, regulations, etc.
No matter. If you want US Navy protection, fly the US flag and jump through all the hoops. I certainly wouldn’t blame a ship owner for deciding not to go in that direction. US regulations can be burdensome. But there should be no free lunch. Enough of other nations skating on Uncle Sam’s dime.
In a way, it’s like house insurance. Buy it, or take your chances.