The Pentagon’s first-ever industrial base strategy aims to address critical areas of America’s supply chain resilience, workforce readiness, flexible acquisition, and economic deterrence. However, military leaders are exploring outsourcing the U.S. maritime-industrial base instead of investing in American shipbuilding and repair capacity, which could weaken the nation and undermine sovereignty.
Top executives in the U.S. shipyard-industrial base have emphasized the importance of a comprehensive industrial base policy to Congress and military officials. Without a companion maritime strategy, offshoring of American industries and jobs crucial to national security and readiness could become inevitable.
China, the principal maritime adversary, has been aggressively expanding efforts to dominate global supply chains and increase capacity and capability through commercial markets. They provided $132 billion in direct subsidies for shipbuilders from 2010 to 2018, aiming to overtake the U.S. Navy as the world’s most capable naval superpower.
The U.S. should focus on building and maintaining more ships in existing U.S. shipyards instead of looking abroad for ship maintenance and construction. The shortsighted approach of seeking overseas capabilities is causing layoffs and undermining the U.S. shipbuilding industry’s workforce and facilities.
A more strategic approach would maximize volume through each shipyard in the U.S. to build and repair ships efficiently, enabling the nation to compete on a global playing field. Emphasizing domestic shipbuilding and repair operations can lead to increased strength and capability for the U.S. to provide a capable naval fleet.
Matthew Paxton, president of the Shipbuilders Council of America, highlights the importance of not outsourcing the nation’s ability to build its own ships and defend its sovereignty. The Shipyard industrial base advocates for dialogue with Navy leadership to achieve a capable, lethal, and mission-ready naval fleet while emphasizing the need to course-correct and prioritize domestic security and assets.