US Navy Awards Critical $9.6B Construction Contract for Four Amphibs to HII

HII has reeled in a long-awaited $9.6 billion multi-ship procurement contract for the construction of four additional amphibious ships at its Ingalls Shipbuilding Division. The ships, which the Navy calls “unique combat warships” are critical to the future strength of the Navy and Marines. They used a combined procurement approach, the first for amphibs, which saves the Navy money and helps the shipyard with long-term planning.

The Navy executed a multi-ship procurement contract for three additional San Antonio-class vessels and a contract modification to add one America-class amphibious assault ship. The America-class of amphibious assault ships is considered to be the centerpiece of Amphibious Ready Group / Marine Expeditionary Unit operations and Marine Expeditionary Brigade with accommodations for the ship’s company, troops, vehicles, and equipment. The San Antonio-class of amphibious transport dock ships are designed to embark, transport, and deploy ground troops and equipment.

The Commandant of the Marine Corps has said it will be critical to maintain 31 amphibious ships to meet force structure requirements. The additional constructions will permit the retirement of older ships while providing long-term capabilities.

The Navy adopted Congress’s recommendation to use the multi-ship procurement approach which has proven successful with the aircraft carriers. The Navy says it will save $901 million by permitting Ingalls to buy equipment in quantity and in advance. In addition to providing a long-term business horizon for the yard, it also permits better planning of manpower and recruitment.

The Navy said using this approach aligns with Secretary of the Navy Carlos Del Toro’s maritime statecraft initiatives to make naval shipbuilding more cost-effective while promoting shipyard stability and investment. They highlighted the agreements will provide a stable shipyard workload well into the early 2030s, providing a consistent demand signal to vendors.

Ingalls reports that half of all its shipbuilders today are working on amphibious ships with another 650 supplier partners in 39 states providing components. To date, Ingalls has delivered 13 San Antonio-class ships and 15 large-deck amphibious ships to the U.S. Navy. Currently, the LHA production line includes the construction of Bougainville (LHA 8) and Fallujah (LHA 9). In addition, Ingalls has two Flight II LPDs under construction including Harrisburg (LPD 30) and Pittsburgh (LPD 31). In March 2023, Ingalls was also awarded a modification to the contract for the procurement of the detail design and construction of Philadelphia (LPD 32), the 16th ship in the San Antonio class.