Rebuilding the United States Navy and America’s Shipbuilding Industrial Base

8/13/2026

Presidential Memoranda

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Action Summary

Purpose: Address shipbuilding setbacks caused by complex designs, delays, cancellations, and limited capacity in Navy and commercial shipbuilding, aiming to restore capacity and competition in the maritime industrial base.
Restoring Legacy Systems: Within 60 days, develop a replacement plan for the Electromagnetic Aircraft Launch System and Advanced Weapons Elevators on CVN-81 to revert to proven steam and hydraulic systems, detailing timelines and resource needs.
Expanding Investment and Competition:
- Finland Model: Use a model from the 2025 Memorandum of Understanding with Finland for up to three ship classes to boost domestic shipbuilding; ensure foreign suppliers build or acquire U.S. shipyard capacity, hire and train American workers, transfer technologies, and use U.S.-based supply chains.
- Competitive Acquisition: Within 90 days, provide a plan for a new international procurement approach for surface combatants with multi-mission capabilities, and a related plan for using pledged financial resources to support maritime investments including CONSOL Tankers and Roll-On, Roll-Off Vessels.
- Design Stability: Prevent iterative changes to original mature designs without high-level approval.
- Waivers and Notifications: Delegate authority for national security determinations to waive prohibitions on using foreign shipyards, with mandatory Congressional notification and a 30-day waiting period.
Fifth Public Navy Shipyard: Within 120 days, propose a plan to establish a fifth public Navy Yard to boost nuclear-powered submarine and aircraft carrier readiness, including details on drydock capacity, geographic locations, innovative financing, and timelines.
Component Repair Center: Within 90 days, submit a plan to establish a centralized Component Repair Center to refurbish and maintain spare components for major submarine classes, strategically located near critical transportation hubs.
Reforming NAVSEA: Within 120 days, review Naval Sea Systems Command to recommend personnel, organizational, and structural reforms to improve vessel delivery speed, reduce bureaucracy, prevent design changes, and enhance accountability.
General Provisions:
- Ensures that the memorandum does not impair existing legal authorities or the functions of agencies such as OMB.
- Implementation is subject to applicable laws and appropriations, with no enforceable rights created for external parties.

Risks & Considerations

The memorandum outlines a significant restructuring of the United States Navy’s shipbuilding and repair capabilities, which may result in increased competition and partnerships with private sector entities. This could lead to enhanced opportunities for collaboration with Vanderbilt University, particularly in areas of research and development related to maritime technology and engineering.
There is a risk that the push for rapid shipbuilding and procurement changes could lead to supply chain disruptions, especially if foreign suppliers are involved. Vanderbilt may need to prepare for potential fluctuations in workforce availability for research projects that depend on these supply chains.
Implementation of the reforms proposed in the memorandum could require significant investment and changes in naval policy, which may impact federal funding allocations for educational institutions involved in defense-related research. Vanderbilt could face shifts in funding priorities that necessitate strategic adaptations.
The focus on increasing domestic shipbuilding capacity might also raise ethical considerations regarding labor practices and environmental impacts, which Vanderbilt would need to address in its research and partnerships in related fields.

Impacted Programs

School of Engineering at Vanderbilt may see increased demand for research in naval engineering, particularly in partnership with defense contractors as they adapt to new requirements set forth by the memorandum.
Vanderbilt’s Department of Political Science could engage in analysis of the implications of this memorandum on U.S. defense policy and its economic impact, providing valuable insights to policymakers.
The Peabody College of Education and Human Development might explore educational initiatives aimed at training a workforce skilled in maritime technology and engineering, responding to the anticipated demand from the naval sector.
Collaborations with the Vanderbilt Center for Technology Transfer and Commercialization may increase, focusing on the commercialization of innovations resulting from naval research initiatives.

Financial Impact

Increased federal investment in shipbuilding could result in new funding opportunities for research grants, particularly in the areas of engineering and technology. Vanderbilt should position itself to capitalize on these opportunities.
The establishment of new shipyards and repair centers as proposed could affect economic activity in the region, potentially benefiting local partnerships and initiatives that Vanderbilt may be involved in.
There may be implications for student recruitment and enrollment in engineering programs as the demand for skilled labor in the shipbuilding sector rises, which could affect tuition revenue and financial aid distributions.
As the memorandum emphasizes the use of public-private partnerships, Vanderbilt might explore opportunities to engage with private sector firms involved in these projects, enhancing its financial partnerships and collaboration funding.

Relevance Score: 4 (The memorandum indicates major transformations in naval policy and potential impacts on funding and educational programs.)

Key Actions

The Department of Engineering should collaborate with the Department of War to understand the implications of the increased domestic shipbuilding capacity and how it could affect research opportunities in advanced ship design and engineering technologies. This collaboration could lead to potential research funding and partnerships.
The Office of Federal Relations should actively monitor the developments related to the establishment of a fifth public Navy Yard and the Component Repair Center. Engaging with military and defense stakeholders could create opportunities for Vanderbilt to provide expertise and support in workforce training and supply chain optimization.
Vanderbilt’s School of Business can explore partnerships with shipbuilding firms that are expanding into the U.S. market under the new policies. This could include joint ventures or research initiatives aimed at enhancing competitive practices in the maritime sector.
The Department of Political Science should assess the broader economic implications of the memorandum on local and national levels. Conducting research on the maritime industry’s growth could provide valuable insights that position Vanderbilt as a thought leader in economic policy.
Vanderbilt’s Law School should examine the legal frameworks surrounding the new policies, particularly regarding foreign partnerships in U.S. shipyards. This could lead to proactive legal advisement and advocacy on issues of national security and trade.

Opportunities

The memorandum presents an opportunity for Vanderbilt’s Department of Workforce Development to engage with the shipbuilding industry in workforce training programs, particularly in hiring and training American citizens for new shipyards.
Vanderbilt’s Center for Economic Policy can leverage the increased focus on domestic shipbuilding to analyze economic impacts and develop policy recommendations that support sustainable growth in the maritime sector.
The initiative to restore steam and hydraulic systems in Navy carriers provides an opportunity for the Department of Mechanical Engineering to conduct research on these technologies, potentially leading to innovations that could be applied in other industries.
By engaging with the Department of War on the reforming of NAVSEA, Vanderbilt’s Research Office can position itself to contribute to the development of efficient accountability measures and processes within military contracting and procurement.
The emphasis on maintaining a robust supply chain for shipbuilding opens doors for Vanderbilt’s Supply Chain Management Program to collaborate with industry partners to research and implement best practices in logistics and supply chain management.

Relevance Score: 4 (The order indicates major process changes required for workforce engagement and research collaboration in the shipbuilding sector.)

Average Relevance Score: 3.8

Timeline for Implementation

Within 60 days – The Secretary of War must provide a plan for replacing key systems for CVN‑81 (Section 2).
Within 90 days – Plans are required for a new competitive acquisition approach for surface combatants and for establishing a Component Repair Center (Sections 3(b) and 5).
Within 120 days – Plans must be submitted for establishing a fifth public Navy shipyard and for reforming NAVSEA (Sections 4 and 6).
30-day delay after determination is received by Congress – Contracts under the waiver cannot be made until 30 days after notification (Section 3(d)).

*No timeline shorter than 60 days was issued for the core directives requiring plan submissions, making the 60-day deadline the most urgent overall directive.*

Relevance Score: 3

Impacted Government Organizations

Department of War: Charged with overseeing the rebuilding of the Navy’s shipbuilding industrial base, including implementing new plans for ship system replacements and establishing key infrastructure projects.
United States Navy: The Navy, via the Secretary of the Navy, is central to the directive as it works on modernizing carrier systems, expanding shipbuilding capacity, and ensuring operational readiness, including coordinating with other agencies.
Office of Management and Budget (OMB): Tasked with receiving and reviewing detailed plans and timelines related to the shipbuilding projects and budgetary resourcing requirements outlined in the memorandum.
Assistant to the President for National Security Affairs (APNSA): Involved in the consultation process and coordination with the Secretary of War and the Navy in developing strategic plans to strengthen the maritime industrial base.
Department of Commerce: Collaborates in formulating plans to direct financial resources from trade deals to support investments in the maritime industrial base.
Department of Transportation: Works in conjunction with the Department of Commerce and the Maritime Administration to establish financial plans and operational strategies for maritime initiatives.
Maritime Administration: Consulted on the acquisition approach and financial resource allocation for maritime projects ensuring the competitiveness of U.S. shipbuilding.
Naval Sea Systems Command (NAVSEA): Subject to a mandated review and reform intended to improve accountability, efficiency, and delivery of vessels and systems without unnecessary iterative design changes.

Relevance Score: 3 (Between 6 and 10 Federal Agencies are directly impacted by the memorandum.)

Responsible Officials

Secretary of War – Charged with executing the majority of the directives, including developing plans for replacing ship systems, reforming NAVSEA, establishing new shipyards and repair centers, and making key national security determinations.
Secretary of the Navy – Acts as a key consultant to the Secretary of War on all maritime and shipbuilding initiatives outlined in the memorandum.
Director of the Office of Management and Budget (OMB) – Responsible for receiving and transmitting plans and resourcing requirements from the involved agencies to the President.
Assistant to the President for National Security Affairs (APNSA) – Collaborates in receiving and reviewing the plans submitted, ensuring alignment with national security priorities.
Secretary of Commerce – Collaborates in formulating plans to leverage financial resources for competitive acquisition approaches in the maritime industrial base.
Secretary of Transportation – Works in conjunction with the Secretary of Commerce and other officials to support infrastructure and transportation elements of the maritime strategy.
Administrator of the Maritime Administration – Consulted to help shape proposals and investment strategies for the shipbuilding industrial base.

Relevance Score: 5 (Directives affect agency heads and key White House and Cabinet-level officials with broad strategic and national security implications.)