Pacific Towboat and Salvage began in 1950 as a partnership between southern California boat operators Ernest A Judd and Ed V Turner.
The company soon grew, eventually acquiring the tugboat operations of the Star and Crescent Boat Company of San Diego, California. The company also began building tugs in-house at a yard in Long Beach, California.
In the late 1970's Pacific Towboat and Salvage was acquired by the Dillingham Corporation of Seattle, Washington. As part of a restructuring in 1986, along with all other Dillingham maritime transportation operations, the company was placed under the Foss Maritime umbrella.
In 1987, Foss Maritime and its subsidiaries were acquired by Saltchuk Resources Incorporated of Seattle, Washington.
By 1992, the Pacific Towboat and Salvage brand was phased out of use, with all company markings being replaced by those of Foss Maritime.