US Navy Awards $15.9 bln Submarine Contract to Expand Nuclear Fleet

July 30, 2026
By Mintesinot Nigussie

The US Navy has awarded billions of dollars in defence contracts covering nuclear-powered submarines, military infrastructure support and space capabilities as Washington continues investments in naval capacity and advanced defence systems. General Dynamics Electric Boat and Huntington Ingalls Industries’ Newport News Shipbuilding division received incentive contract modifications for the construction of Columbia-class ballistic missile submarines, Virginia-class attack submarines and shipyard productivity improvements.

The award covers five Columbia-class fleet ballistic missile submarines, SSBN 828-832, nine Virginia-class attack submarines, SSN 814-822, a tenth shipset of material and investments to improve shipbuilding efficiency. Funding obligations under the agreement total about 11.9 billion US dollars, including 6.44 billion US dollars from fiscal 2026 shipbuilding and conversion funding, 3.74 billion US dollars from fiscal 2025 shipbuilding and conversion funding, 1.27 billion US dollars from maritime industrial base funds, 254 million US dollars from the National Sea-Based Deterrence Fund and 171 million US dollars from fiscal 2024 shipbuilding and conversion funding.

The work will be carried out mainly in Groton, Connecticut, which accounts for 30 percent of activity, and Newport News, Virginia, which accounts for 22 percent. Additional work will take place in Quonset Point, Rhode Island; Sunnyvale, California; and other locations. Completion is expected by July 2038. The contract was awarded by Naval Sea Systems Command as the US Navy advances long-term programmes to expand and modernise its submarine fleet.

Source: FSX Business News