Del Toro reiterates call for new investment in U.S. shipyards

"Right now, we build the most-capable warships in the world in shipyards that are decades behind the global technological standard."

“Over the past forty years, America’s maritime shipbuilding capabilities and capacity have atrophied,” said Secretary of the Navy Carlos Del Toro, in a keynote speech at a Navy League Sea Air Space 2024 luncheon, in which he again called for a increase in military shipbuilding capacity.

“Right now, we build the most-capable warships in the world in shipyards that are decades behind the global technological standard,” said Secretary Del Toro “This is an inefficient approach requiring far too much time, workforce, and taxpayers’ dollars.

“And it is certainly an approach that is wholly inadequate to pace our 21st Century competitors.

“Our Korean and Japanese allies build high-quality ships, including AEGIS destroyers, for a fraction of the cost that we do.

“When my team and I went to South Korea, we were floored at the level of digitization and real-time monitoring of shipbuilding progress, with readily available information down to individual pieces of stock materials.

“Their top executives could tell us—to the day—when ships would be delivered.

“It’s an ethos, a commitment to constant improvement that is the foundation of their reputation for consistently delivering on time on budget—even during COVID.

“The daunting challenges we face are also an opportunity to partner with a greater number of shipbuilders here in the U.S. and with our closest allies abroad.

“We have an opportunity to attract the most advanced shipbuilders in the world to open U.S.-owned subsidiaries and invest in commercial shipyards here at home.

“This will allow us to modernize and expand our shipbuilding industrial capacity, creating good-paying “new-collar” American jobs that come with a healthier, more competitive shipbuilding workforce.

“As the findings of the 45-Day Comprehensive Shipbuilding Review have underscored, too many of our industry partners are behind schedule and over budget on our highest priority programs.”

“Let’s be clear—I want American industry to thrive. As a business owner for almost two decades, I understand your perspective.

“I am pushing our shipbuilding industry to invest in itself to get better, to be technological leaders, and to once again deliver platforms on-time and on-budget.

“We must deliver for the American people, because in our line of work, we don’t get to make excuses.

“Of course, there’s work for us to do on our end as a Department as well.

“I am determined to address the longstanding challenges in our procurement processes that cause industry heartburn as they try to do business with us.

“I expect our leaders to foster a culture of excellence and accountability across our acquisition workforce.

“That is why I am directing steps inside the Navy acquisition community to make ourselves better and smarter buyers.”

• You can read the transcript of the Secretary Del Toro’s complete speech HERE