On Wednesday, President Trump signed an executive order calling for the creation of a maritime action plan by November, with a focus on revitalizing U.S. shipbuilding and curbing China’s dominance in the sector. The order involves a comprehensive overhaul, assigning key roles to several cabinet members, including heads of the Departments of Defense, Commerce, State, Transportation, Homeland Security, Labor, and the U.S. Trade Representative.
The primary task is an assessment of the U.S. government’s shipbuilding practices, with reports due to the President within 45 days. The goal is to evaluate how the U.S. buys ships and to develop strategies to grow competitive U.S. shipyards, reduce delays, and manage costs. These assessments will focus on the Army, Navy, and Coast Guard, and will form the basis of the maritime action plan.
While the executive order (EO) is largely directed at the commercial maritime sector, it lays the foundation for broader efforts, including potential future maritime executive orders. A notable feature of the EO is its call for improving U.S.-flagged ships in international trade, and it includes directives for the Defense Secretary and Transportation Secretary to submit proposals that could ensure adequate fleet capacity in times of crisis.
Despite the strategic scope, Sal Mercogliano, a former U.S. Military Sealift Command mariner and current history professor, expressed that the EO may not produce immediate results for U.S. shipbuilding but could spark long-term improvements. He suggests that it “sets in motion” efforts that may eventually reverse the downward trend of the U.S. maritime sector.
In terms of global competition, data from BRS Shipbrokers reveals that China’s dominance in global shipbuilding has grown dramatically, with the country increasing its orders from 1,216 in 2020 to 3,419 in 2024, representing over half of global orders.
The executive order also aligns with other efforts, such as the Shipbuilding and Harbor Infrastructure for Prosperity and Security for America Act in Congress, aimed at revitalizing U.S. maritime industries, and the U.S. Trade Representative’s Section 301 investigation into China’s maritime practices. Transportation Secretary Sean Duffy highlighted the need to upgrade the U.S. Merchant Marine Academy to ensure better workforce training and shipbuilding capacity.
Notably absent from the EO is the Shipyard Accountability and Workforce Support (SAWS) proposal, which addresses the rising costs of military shipbuilding, particularly submarines. This plan is backed by key shipbuilders such as HII’s Newport News and General Dynamics Electric Boat.
Bipartisan lawmakers supporting the SHIPS Act praised the EO for addressing the challenges posed by China’s shipbuilding dominance. As U.S. policymakers work to revitalize the domestic maritime sector, many expect Congress to codify much of the EO into law, particularly through the SHIPS Act, a vital piece of legislation that seeks to ensure the U.S. regains its leadership in global maritime affairs.
Chris Kastner, CEO of HII, praised the EO as a “bold step” toward increasing shipbuilding capacity and workforce development, crucial for meeting the growing demands of both the Navy and the U.S. maritime industry.