HII’s (NYSE: HII) Ingalls Shipbuilding division has received two U.S. Navy contracts worth approximately $9.6 billion combined for the purchase of three San Antonio-class amphibious transport dock ships and one America-class amphibious assault ship.
“It is an honor to continue our support of the joint Navy and Marine Corps mission to meet the minimum 31-amphibious-ship requirement,” Kari Wilkinson, HII executive vice president and president of Ingalls Shipbuilding, said in a statement published Tuesday.
Naval Sea Systems Command said Tuesday the multiship procurement strategy will enable the Navy to realize over $901 million in cost avoidance.
According to NAVSEA, the long-term agreements align with Navy Secretary Carlos Del Toro’s maritime statecraft initiatives to foster shipyard investments and improve naval shipbuilding’s cost-effectiveness.
“The importance of this multiple amphibious ship purchase cannot be overstated with respect to our whole-of-government effort to restore the maritime capabilities of the United States,” said Del Toro, a 2024 Wash100 awardee. “This purchase sends a steady demand signal to our shipbuilding industrial base that our Navy is actively investing in our shipbuilding infrastructure.”
Contract for San Antonio-Class Amphibious Transport Dock Ships
Under a $5.8 billion contract, Ingalls Shipbuilding will design and build Flight II LPD 33, LPD 34 and LPD 35 ships and perform work in Mississippi, Virginia, Wisconsin, Illinois, Massachusetts and other locations through September 2035.
The Department of Defense said Tuesday NAVSEA is obligating $449 million in fiscal 2024 shipbuilding and conversion funds and $1 million in fiscal 2021 shipbuilding and conversion funds.
The Navy uses the San Antonio-class amphibious transport dock ships to transport and field ground troops and equipment.
Contract Modification for America-class Flight 1 Ship
The HII division also secured a potential $3.6 billion contract modification to procure long-lead-time materials to support the construction of the LHA 10 America-class large-deck amphibious ship.
The modification includes options that, if exercised, could increase the contract’s cumulative value to $3.8 billion and extend work through March 2035.
Work will occur in Mississippi, Wisconsin, Georgia, Pennsylvania, Ohio and other sites through September 2033.
The America-class amphibious assault ships support the operations of the Amphibious Ready Group / Marine Expeditionary Unit and Marine Expeditionary Brigade and enable the Navy to transport troops, vehicles and equipment.
To date, Ingalls Shipbuilding has handed over to the Navy 13 San Antonio-class ships and 15 large-deck amphibious ships. The contractor’s current LHA production line includes Bougainville (LHA 8) and Fallujah (LHA 9). The company is also working on two Flight II LPDs – Harrisburg (LPD 30) and Pittsburgh (LPD 31).
