Navy Awards Amphibious Multi-Ship Procurement Contracts

Navy Awards Amphibious Multi-Ship Procurement Contracts

By Team Ships Public Affairs

WASHINGTON - The U.S. Navy awarded contracts totaling $9,472,132,620 for procurement of one America-class amphibious assault ship (LHA) and three San Antonio-class amphibious transport dock (LPD) ships, Sept. 24. The award, executed across two separate contracts to Huntington Ingalls Industries, Ingalls Shipbuilding Division, utilized a multi-ship procurement approach. By using this strategy, as authorized by Congress, the Navy is projected to achieve more than $901 million in cost avoidance as compared to the use of annual contracts.

The long-term contract agreements align with Secretary of the Navy Del Toro's maritime statecraft initiatives to make naval shipbuilding more cost effective while promoting shipyard stability and investment. The agreements provide stable shipyard workload well into the early 2030s, providing a consistent demand signal to vendors.

"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. "This purchase sends a steady demand signal to our shipbuilding industrial base that our Navy is actively investing in our shipbuilding infrastructure."

The awards are consistent with the Commandant of the Marine Corps' projected force structure requirements and demonstrates the Navy's commitment to maintaining 31 amphibious ships.

"The Amphibious Ready Group / Marine Expeditionary Unit (ARG/MEU) is the premier force offering of our Corps," said Lt. Gen. Eric Austin, Deputy Commandant for Combat Development and Integration. "This multi-ship procurement contract ensures the Marine Corps upholds the obligation to meet combatant commander requirements for continuous MEU presence. ARG/MEUs provide our national leadership with combat credible forces that are persistently forward, assure allies and partners, and contribute to deterrence, campaigning, crisis response, and combat operations."

The America-class of amphibious assault ships operate as the centerpiece of ARG/MEU operations and Marine Expeditionary Brigade with accommodations for ship's company, troops, vehicles, and equipment. The San Antonio-class of amphibious transport dock ships are designed to embark, transport, and deploy ground troops and equipment.

"This multi-ship procurement provides the long-term stability our shipbuilders and vendors require, enabling them to deliver product effectively, help support and retain a talented and critical workforce, and invest in the infrastructure required to sustain and grow our shipbuilding capability and capacity," said Assistant Secretary of the Navy Acquisition, Research and Development, Nickolas Guertin.

"This multi-ship procurement will deliver critical amphibious warfare capability to support the Navy and Marine Corps mission," said Capt. Matthew Tardy, program manager, Amphibious Warfare Program, Program Executive Office (PEO) Ships. "The partnership between the Navy and Ingalls Shipbuilding is important. We are proud to be working with their talented workforce to build and deliver highly capable ships and provide needed stability for the shipbuilding industrial base."

​​​​​​​Program Executive Office Ships (PEO Ships), one of the Defense Department's largest acquisition organizations, manages the design and construction of destroyers, amphibious ships, special mission and support ships, as well as a wide range of boats and craft for U.S. agencies and foreign military sales. These platforms enable our nation and its allies to project presence in peace, power in wartime, and assured access at all times.

- NAVSEA -