Photo caption: ARCTIC OCEAN (March 9, 2024) A C-130 Hercules assigned to the 109th Airlift Wing, part of the New York Air National Guard, flies over East Coast-based Naval Special Warfare Operator (SEALs), Norwegian Naval Special Operations Commandos and the Los Angeles-class attack submarine USS Hampton (SSN 767) during an integration exercise designed to bolster skills in an Arctic environment March 9, 2024, as part of Arctic Edge 24. (U.S. Navy photo by Chief Mass Communication Specialist Jeff Atherton)
March 15, 2024
HII’s Weekly News Digest is compiled every Friday by the Corporate Communications team to summarize and highlight news stories of significance to the company.
Budget Proposal Retires 10 Ships Early, Buys 6 More: Breaking Defense reported on Monday that the White House’s fiscal year 2025 budget request includes $895.2 billion in discretionary funds directed towards national defense. The overall shipbuilding budget is $32.4 billion, down 1% from $32.8 billion from the previous year. The request includes funds to buy six ships: one Virginia-class submarine, two Arleigh Burke-class destroyers, one Constellation-class frigate, one San Antonio-class amphibious transport dock and the first medium landing ship. It also proposed to retire 10 ships early, including two cruisers, one dock landing ship, four expeditionary fast transports, one expeditionary sea base and two littoral combat ships. Rear Adm. Ben Reynolds, deputy assistant secretary of the Navy for budget, said the president’s spending request was created with the Fiscal Responsibility Act (FRA) of 2023 in mind. The FRA signed into law last June, suspended the country’s debt ceiling and allowed the government to borrow the money it needed to meet its obligations. For the Pentagon, the FRA caps fiscal year 2025 spending at roughly $895 billion. USNI News reported on Monday that the Department of the Navy is asking for a total of $257.6 billion, with $203.9 billion for the Navy and $53.7 billion for the Marine Corps. The Navy’s portion of the budget breaks down to $70.2 billion in operations and maintenance funding, $63.3 billion in procurement, $43.8 billion for military personnel, $22.7 billion in research and development funding, and $3.9 billion for military construction.
Budget Redirects Funds To Invest In Submarine Supplier Base: Defense News reported on Monday that the proposed fiscal year 2025 budget only supplies funding to purchase one Virginia-class submarine, rather than the two-boat-per-year cadence the Navy has kept up for more than a decade. The plan, however, does propose spending $3.9 billion to shore up the submarine supply chain. Specifically, the money will be used to help vendors hire and train workers, retool existing facilities and build new ones, invest in additive manufacturing, and more, said Rear Adm. Ben Reynolds, the deputy assistant secretary of the Navy for the budget. Instead of buying 10 Virginia-class submarines – as outlined in the five-year Future Years Defense Program – the Navy is now planning to buy nine, Under Secretary Erik Raven said. Defense News reported on Monday that the Navy, business leaders and lawmakers have all highlighted stable funding as a key to helping industry bolster its output. The Daily Press reported on Friday that HII’s Newport News Shipbuilding division is working to hire 3,000 skilled trades workers this year and a total of 19,000 within the decade to keep up with demand. Meanwhile, Politico reported on Tuesday that the budget proposal has angered influential a bipartisan slate of lawmakers in both houses including Sens. Tim Kaine, D-Virginia, and Roger Wicker, R-Miss., as well as Rep. Joe Courtney, D-Conn., and Rep. Rob Wittman, R-Va., all of whom represent states with significant shipbuilding workforces. White House Budget Director Shalanda Young told senators on Tuesday that a $95 billion supplemental, which includes $3.4 billion to boost sub production, must pass to ensure the U.S. keeps its commitments under the AUKUS that would provide submarines to Australia later this decade.
HII Unveils REMUS 130 UUV: The Defense Post reported on Wednesday that HII’s Mission Technologies division has launched its latest REMUS unmanned underwater vehicle (UUV). Serving as the third generation of the REMUS 100 product line, the new REMUS 130 is built with a compact design, a 100-meter (328-foot) operational depth, 10 hours of battery life with field charging compatibility, and convenient payload integration. Like its predecessors, the UUV can be deployed for mine countermeasures missions, offshore oil and gas exploration, data collection and research, and search and rescue. The REMUS 130’s cargo can also accommodate dry, wet, and custom payloads. The REMUS line of UUVs has been growing in popularity. HII signed a contract last year to provide the U.S. Navy with nine small underwater vehicles based on the REMUS 300 variant. In November 2022, the company’s REMUS 620 drone was leveraged in a torpedo-tube launch and recovery project for the US Navy’s nuclear-attack submarines. Meanwhile, Naval Technology reported on Thursday that HII has received a second order for the REMUS 620 UUV from an unnamed Indo-Pacific nation. HII will build and deliver the customized, medium-class REMUS 620 in 2024. The customer will deploy the system for monitoring and data collection missions.
Social Media Highlight Of The Week 
Posted Thursday on Jennifer Boykin’s Facebook page: “The Newport News Shipbuilding Apprentice School Builders are national champions! Congratulations to the men’s basketball team for its 73-68 win over Lyon College in this afternoon’s United States Collegiate Athletic Association (USCAA) Division I Men’s Small College National Championship. This is the third national championship for the men’s basketball program in school history and the first since the team went back-to-back in the 2001-2002 and 2002-2003 seasons. Great job, shipbuilders! You’ve made us all proud! #GoBuilders” |
U.S. Labor Unions Want Biden Administration To Probe Chinese Shipbuilding Practices: The Financial Times reported on Monday that five U.S. labor unions have asked President Joe Biden to open a trade investigation into alleged Chinese unfair economic practices in the shipbuilding and maritime logistics sectors. The United Steelworkers union, among others, filed a petition with the U.S. Trade Representative alleging discriminatory practices that have helped China dominate global shipbuilding. The groups are asking for the U.S. government to implement port fees on Chinese-built vessels to create a fund to help revitalize U.S. shipbuilding. The administration will have 45 days to decide whether to respond by opening an investigation.
HII’s Weekly News Digest is produced by HII’s Corporate Communications team and posted to Homeport every Friday.
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