Alaska-based American Seafoods violated the US Jones Act but will escape paying the record-breaking penalties, and so will its foreign shipowner partners.

The company will no longer be able to use a perfunctory 30-metre rail move in Canada to get around the expensive requirement to use US-flag, US-built vessels in shipping its product to the US East Coast.

Agents of the US Customs and Border Protection (CBP) agency had assessed it some $25m in fines. Its shipping partners including foreign reefer owners faced up to $325m more.