Trump Announces $6.6 Billion Arsenal-2 Shipyard Project in Baltimore

President Donald Trump announces the $6.6 billion Arsenal-2 shipyard project at Sparrows Point, Maryland.
By Kanwal Abidi
MARYLAND: US President Donald Trump has announced the launch of construction for a major new naval shipyard at Sparrows Point, Maryland, describing the $6.6 billion Arsenal-2 project as the largest new shipyard in the United States.
Trump made the announcement during a ceremony at the future shipyard site. He was joined by Secretary of War Pete Hegseth, who also outlined the project as part of efforts to strengthen the US military-industrial base.
According to the announcement, Anduril Industries will invest $3.7 billion of its own capital to build and operate the facility. The US Navy is contributing an additional $2.9 billion.
Thousands of Jobs Expected
The Arsenal-2 facility is expected to create more than 3,100 direct jobs and support approximately 11,000 additional jobs across the United States.
The facility is scheduled to begin operations around 2030. Meanwhile, officials said the project is expected to provide a major economic boost to Baltimore County.
Trump described the development as a major step toward rebuilding US shipbuilding capacity.
“Today, we are officially launching the construction of the largest new shipyard in the United States,” Trump said.
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He also described the project as part of what he called a new “golden age of shipbuilding” in the United States.
Focus on Submarine Production
The shipyard will cover about 187 acres at Sparrows Point. Its production facilities will span more than 2 million square feet, according to the announcement.
In addition, the facility is being designed for high-volume and high-precision manufacturing of undersea naval systems.
The planned production includes submarine components, autonomous underwater vessels, torpedo tubes and critical components for Virginia-class attack submarines.
The project is also expected to support the development of next-generation American submarines, including autonomous systems.
Part of US Military Industrial Strategy
Hegseth said Arsenal-2 will form part of the administration’s “Arsenal of Freedom” initiative to rebuild the US military-industrial base.
He said the project would strengthen American shipbuilding and manufacturing capacity while supporting undersea naval readiness.
“From Day 1, President Trump has demanded from the War Department speed, scale and urgency,” Hegseth said.
Furthermore, he described the facility as the largest US shipyard project since World War II.
Trump also highlighted Baltimore’s industrial workforce. He said workers in the region would play a central role in the project for decades.
“When you come back [here] in two years, you’re not going to believe what you see,” Trump said.
He added that the site, which once supported traditional shipbuilding, would now focus on high-tech manufacturing and advanced naval production.
US-China Shipbuilding Competition
The Arsenal-2 project comes amid growing US concerns over China’s dominance in global shipbuilding.
The announcement said China now accounts for more than half of global commercial shipbuilding, while the United States accounts for less than 1%.
As a result, the new facility is intended to help expand US shipbuilding capacity and address gaps in submarine and undersea production.
Trump said the project would contribute to what he described as “peace through strength” and help build the future of the US Navy in Baltimore.
