US Navy awards nearly $1B for Columbia, Virginia sub support
The U.S. Navy has awarded General Dynamics Electric Boat a $986.7 million contract modification to accelerate development work on the Columbia-class ballistic missile submarines and bolster the submarine industrial base, according to a Department of Defense release issued Wednesday.
The modification supports continued component development and lead yard services for the Columbia-class fleet, as well as industrial base expansion for both Columbia and Virginia-class submarines and Ford-class aircraft carriers. A portion of the funding—$16 million—originates from the United Kingdom, reflecting ongoing U.S.–U.K. collaboration on the Common Missile Compartment program shared between the Columbia-class and the Royal Navy’s Dreadnought-class submarines.
Electric Boat, a subsidiary of General Dynamics, serves as the lead design yard and primary construction contractor for the Columbia-class, which will replace the aging Ohio-class as the Navy’s sea-based strategic deterrent. Work under this modification will be performed in Groton, Connecticut (70%), Newport News, Virginia (15%), and Quonset Point, Rhode Island (15%), with a projected completion date of December 2031.
The Navy said the effort is part of a broader push under the fiscal year 2025 Submarine Industrial Base (SIB25) initiative, a strategic plan developed by the Navy and the Office of the Secretary of Defense Cost Assessment and Program Evaluation (OSD CAPE). The goal, according to the department, is to ensure stable, serial production capacity to meet national defense demands across multiple undersea and surface ship programs.
In a statement, the Pentagon noted that the SIB projects included in this award “directly support the direction of OMB, OSD CAPE, and the Navy” to strengthen shipbuilder infrastructure, strategic sourcing, and supplier development in the submarine manufacturing sector.
The funding breakdown includes nearly $794 million from the National Sea-Based Deterrence Fund, $16 million from the United Kingdom, and other FY25 Navy funds dedicated to procurement, research and development, shipbuilding, and operations.
General Dynamics Electric Boat, based in Groton, Connecticut, builds submarines under a long-standing teaming arrangement with HII’s Newport News Shipbuilding. Together, they construct the Virginia-class fast attack submarines and are jointly advancing the Columbia-class program, which is prioritized as the Navy’s top shipbuilding need.