White House Issues Order to Allow Foreign-Built Warships for U.S. Navy
The White House has issued a Presidential Memorandum titled “Rebuilding the United States Navy and America’s Shipbuilding Industrial Base,” which allows allied international shipbuilders to design and construct surface combatants for the U.S. Navy. This policy shift aims to address severe backlogs, budget overruns, and capacity constraints within major American defense shipbuilding programs. The directive introduces an international procurement path, utilizing a 'Finland Model' framework. Under this model, initial vessels in a class can be manufactured overseas to expedite delivery. In return, foreign contractors must invest in the U.S. defense industrial base by acquiring majority stakes or establishing new shipyards in the U.S., transferring proprietary technologies, and shifting all subsequent construction to American soil. The Secretary of War, in consultation with the Secretary of the Navy, is mandated to deliver a comprehensive plan within 90 days for a new competitive acquisition program focusing on...