Kelly, Moran introduce Shipbuilding Investment and Workforce Act to strengthen U.S. maritime manufacturing

WASHINGTON, D.C. -- Today, U.S. Representatives Mike Kelly (R-PA) and Nathaniel Moran (R-TX) introduced the Shipbuilding Investment and Workforce Act, legislation which aims to strengthen U.S. shipbuilding and maritime manufacturing by encouraging long-term private investment through the creation of Maritime Prosperity Zones (MPZs).

The legislation follows recent plans to build a modern, large-scale shipbuilding project along Erie's bayfront to support the U.S. Navy. A new shipyard in Erie is projected to create 1,000 jobs, plus an additional 2.67 jobs in other parts of the local economy for every shipyard job.

Kelly's legislation also supports the Trump administration's goalsto expand commercial shipbuilding capacity in the United States. Currently, the U.S. accounts for less than 1% of global commercial shipbuilding market share while China accounts for more than 53%, according to the 2025 report by the Center for Strategic and International Studies.

"Expanding America's shipbuilding production is vital for economic growth and national security. Currently, China, not the United States, has the world's largest maritime fleet. The Shipbuilding Investment and Workforce Act takes a major step toward making America the dominant ship producer in our hemisphere, if not the world," said Rep. Kelly. "Erie's maritime past, its skilled manufacturing workforce, and geographic location make our region a perfect place to construct a new U.S. naval shipyard. I want to thank the Trump administration for their bold vision that made Maritime Prosperity Zones possible."

"U.S. strength abroad depends on the revitalization of American shipyards. China embarked on a decades-long strategy to dominate an industry critical to both commerce and national defense. Now is the time for America to compete for the workforce and investments that build ships in the first place," said Rep. Moran. "The Shipbuilding Investment and Workforce Act gives American investment a reason to bet on American shipyards again, and that's how we rebuild an industry China has spent years trying to monopolize."

You can find bill text here and a one-pager here.

BACKGROUND

The establishment of new Maritime Prosperity Zones (MPZs), modeled after President Trump's highly successful 2017 Opportunity Zones (OZs) initiative, will incentivize and leverage domestic private capital and allied investment in America's maritime industries and waterfront communities. Rep. Kelly has led OZ legislation in Congress -- both in the 2017 Tax Cuts & Jobs Act and in the 2025 Working Families Tax Cuts.

The United States faces gaps in the supply of, and demand for the capabilities and capacity of
its maritime industry. Now is a critical time in America's maritime history, as decades of
industrial decline has significantly eroded shipbuilding capacity, the U.S.-flagged fleet, and
the health of the MIB.

Establishing Maritime Prosperity Zones would incentivize and align new domestic and allied
investment in U.S. maritime industries and waterfront communities; address myriad supply and demand issues; and reduce dependence on unreliable suppliers through heightened cooperation with allies and partners.

Earlier this month, Kelly wrote an op-ed in the Erie Times-News highlighting the importance of building a shipyard in Erie. A new shipyard in Erie is projected to create 1,000 jobs, plus an additional 2.67 jobs in other parts of the local economy for every shipyard job.

• "Beyond the shores of Presque Isle Bay and Lake Erie, there is a larger geopolitical puzzle that is coming together. A 2024 analysis by the Center for Strategic and International Studies (CSIS) revealed China - not the United States - now possesses the world's largest maritime force with 234 warships to the U.S. Navy's 219. Moreover, a 2025 CSIS report indicates China is quickly evolving from a coastal navy into a "blue-water navy" with ambitions to project its power globally," Kelly wrote.

This week, Kelly also co-led Moran's new legislation, the American Shipyard Investment Act.

WHAT THEY'RE SAYING

• "The Shipbuilding Investment and Workforce Act is about putting America, and cities like Erie, PA back at the center of maritime innovation and production. By creating maritime prosperity zones and unlocking investment in shipbuilding, port infrastructure, and advanced manufacturing, we're laying the foundation for long-term economic growth and national security," said A.J. Lewis, CEO and Founder of SBD, Inc. in Erie, Pa. "Erie and the broader NW PA region have the properties, capacity, talent, and rich maritime history to lead this resurgence. With strong local leadership aligned through Erie's Maritime Initiative and buildshipsfaster.com campaign, this effort ensures our community is not just part of the conversation, yet at the forefront of rebuilding America's maritime strength."
  
  
• "Shipbuilding is part of Erie's identity and a cornerstone of our future. Erie has the skilled workforce, industrial heritage, and strategic location to help meet our nation's growing shipbuilding needs. By investing in this industry, we're creating family sustaining careers, strengthening our local economy, and positioning Erie County as a key partner in supporting America's maritime readiness," said Christina Vogel, Erie County (Pa.) Executive. "Every investment in shipbuilding supports local businesses, creates opportunities for our residents, and reinforces our nation's maritime strength. We're proud to continue Erie's long tradition of answering the nation's call while building a stronger future for generations to come."
  
  
• "The Shipbuilding Investment and Workforce Act presents a forward-looking approach to
  strengthening U.S. shipbuilding and maritime manufacturing by encouraging long-term private investment through the creation of Maritime Prosperity Zones. We believe the legislation creates much needed incentives to attract capital, modernize facilities, and support sustained industrial growth," said Joshua H. Juel, President and CEO of Chamber of Marine Commerce.
  
  
• "The Shipbuilding Investment and Workforce Act is firm step in the correct direction for revitalizing American shipbuilding. The U.S. Great Lakes maritime industry stands ready to execute with robust shipyards, a strong industrial base, and the workforce needed to compete with foreign shipyards," stated Jim Weakley, President of the Lake Carriers' Association.
  
  
• "SMA applauds introduction of the Shipbuilding Investment and Workforce Act, led by steel
  champion Rep. Mike Kelly. A revitalized maritime industrial base is critical for U.S. economic
  prosperity and national security, and policies that expand domestic shipbuilding capacity support the men and women who make steel in America," said Brandon Farris, Executive Vice President of the Steel Manufacturers Association. "This legislation builds on recommendations in the Maritime Action Plan to align federal tax policy with this important goal. Steel manufacturers are ready to supply the steel for the next great chapter in American shipbuilding."
  
  
• "AISI thanks Rep. Kelly for his leadership in supporting the revival of American shipbuilding. Creating Maritime Prosperity Zones will help ensure that communities throughout the United States can contribute to rebuilding the supply chains necessary to sustain American shipbuilding. Renewed American shipbuilding will enhance opportunities for domestic steel to continue to support America's maritime leadership," said Kevin Dempsey, president and CEO of the American Iron and Steel Institute (AISI).

Organizations supporting the Shipbuilding Investment and Workforce Act also include the American Shipbuilders Suppliers Association.