President Donald Trump has set his sights on reviving America’s shipbuilding industry, vowing to build more ships “very fast, very soon.” This ambitious push comes as China’s naval and commercial shipbuilding capacity dwarfs that of the United States, reportedly exceeding it by more than 230 times. With an executive order in the works and a new White House shipbuilding office under discussion, Trump is looking to reshape America’s maritime power to counter China’s dominance.
A Shipbuilding Revival
In a recent address to Congress, Trump lamented the decline of U.S. shipbuilding, recalling a time when American shipyards were the backbone of global naval power. “We used to make so many ships,” he said. “We don’t make them anymore very much, but we’re going to make them very fast, very soon.”
The Trump administration’s plan to finance this resurgence includes imposing hefty port fees on Chinese-built vessels and ships from fleets using China-made components. The move aligns with recommendations from major U.S. labor unions, which have called for stronger penalties against China’s subsidized shipbuilding industry.
China’s shipyards, bolstered by more than $100 billion in government support from 2010 to 2018, manufactured over 1,000 ocean-going vessels in 2023. In stark contrast, U.S. shipyards produced fewer than 10. The alarming disparity has fueled concerns over national security and economic dependence on foreign-built vessels.
Strategic Military Concerns
Beyond commercial shipbuilding, Trump’s plan has significant military implications. The U.S. Navy currently operates 296 battle force ships but aims to expand to 381. However, with the current pace of production, the Congressional Budget Office estimates that achieving this goal would require tens of billions of dollars annually for decades.
The Indo-Pacific remains a major flashpoint, with military leaders warning that a conflict over Taiwan could erupt as soon as 2027. A stronger American shipbuilding industry could be crucial in preparing for such a scenario.
New White House Shipbuilding Office
One of Trump’s proposed solutions is the creation of a White House shipbuilding office that would oversee both commercial and military vessel production. While details remain sparse, the initiative is expected to involve tax incentives and regulatory reforms to spur domestic shipbuilding.
Industry leaders have expressed support for the proposal. Roger Wicker, head of the Senate Armed Services Committee, stated, “The shipbuilding office can only help… The way to get started doing it is to say we’re going to get started.”
Matthew Paxton, president of the Shipbuilders Council of America, echoed these sentiments, noting that American companies are “ready to answer the call to design and build America’s commercial and military fleets.”
Funding the Maritime Overhaul
The Trump administration’s draft executive order outlines a broad maritime action plan, requiring multiple government agencies to devise strategies for revitalizing the industry. Key proposals include:
- A Maritime Security Trust Fund: Using tariffs and taxes to finance shipbuilding incentives for the next nine years.
- Harbor Maintenance Taxes: Imposing additional fees on foreign cargo entering the U.S. to fund domestic maritime projects.
- Procurement Reforms: Streamlining acquisition processes for the Navy and Homeland Security to accelerate ship production.
A newly proposed Department of Government Efficiency (DOGE), guided by billionaire Elon Musk, is set to review shipyard acquisition processes and recommend improvements to reduce costs and delays.
Can the U.S. Close the Gap?
Historically, the U.S. was a shipbuilding powerhouse, constructing thousands of cargo ships during the World Wars. However, the industry has seen a steep decline since the 1970s. In the 1980s, American shipyards produced around five commercial ships per year—a figure that remains unchanged today.
While Trump’s vision for a shipbuilding renaissance has gained traction among lawmakers and industry leaders, significant challenges remain. Revitalizing shipbuilding infrastructure, training a new workforce, and securing the necessary funding will be monumental tasks.
Nonetheless, as geopolitical tensions rise and maritime security becomes increasingly vital, Trump’s “Make Shipbuilding Great Again” initiative could mark a turning point in America’s industrial and military strategy.
