The U.S. Navy on Thursday snubbed Mobile-based Austal USA, instead choosing Fincantieri Marinette Marine in Wisconsin for a massive contract to build the Guided-Missile Frigates FFG(X) that replaces the current LCS design.
The contract will be at least worth $795 million, however between the lead ship and options for up to nine others that total would be worth $5.5 billion if all options are exercised.
Congressman Bradley Byrne (AL-01) issued a statement lamenting the announcement.
“The men and women who work at the Austal shipyard in Mobile are the finest in the country,” Byrne said. “I disagree with the Navy’s decision, and I look forward to thoroughly examining the Navy’s decision making in this process in the coming days. At the same time, I’m committed to working with Austal, the Navy, and the Trump Administration to ensure we don’t destroy our critical shipbuilding industrial base, especially at a time when the threat environment clearly demands more small surface ships.”
Austal is currently under contract to produce Independence-variant littoral combat ships and expeditionary fast transports (EPF) in Mobile.
Austal USA President Craig Perciavalle said in a statement after Thursday’s announcement, “Despite our extreme disappointment over this outcome, we have a portfolio of other opportunities that we continue to pursue in addition to our backlog of EPF and LCS work that extends through 2024 including EPF variants and unmanned surface vessels.”
“We have great facilities and an even greater workforce and we are committed to continuing to build highly capable and cost effective ships for the U.S. Navy,” he continued. “Austal USA has delivered 11 Independence-variant LCS with six more under construction and two awaiting start of construction. The company has also delivered 11 Expeditionary Fast Transports with two more under construction and one awaiting start of construction. With 22 Austal ships delivered, the company’s global services division is growing as it supports the U.S. Navy’s fleet maintenance and modernization.”
RELATED: Austal USA donates $100K to Mobile area charities, shifts 3D printing to make PPE
Sean Ross is the editor of Yellowhammer News. You can follow him on Twitter @sean_yhn
Don’t miss out! Subscribe today to have Alabama’s leading headlines delivered to your inbox.