Many of the world's largest cruise lines have completely halted sailings as the spreading coronavirus throws entire economies into disarray.
But unlike airlines, which are set to receive a cash infusion from
Congress' $2 trillion financial bailout package, cruise companies might not see a single cent.
The version of the bill as
passed by the Senate Wednesday night and likely to be voted on by the House of Representatives as soon as Friday contains specific language for air carriers. Businesses in other industries not specified are also eligible for $4.5 trillion in loans, but only those that "are created or organized in the United States or under the laws of the United States and that have significant operations in and a majority of its employees based in the United States. "
That's where things get tricky for cruise lines.
In an effort to skirt American regulations, cruise ships are often registered in foreign countries in a practice known as "flags of convenience." Often, these are small Caribbean countries like Panama or the Bahamas. In addition to tax loopholes, these domiciles also conveniently come with lower minimum wages and fewer regulations,
according to Politico.
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