Secretary of the Navy Carlos Del Toro confirmed the service will seek another multi-year purchase contract for Arleigh Burke-class (DDG-51) destroyers. Speaking at the Aspen Security Forum on Nov. 4, SECNAV was asked about Bath (Maine) Iron Works’ (BIW) warning it would have to cut 2,400 shipbuilding jobs by 2024 if the Navy does not place another long-term order for destroyers. Bath and Huntington Ingalls Industries’ (HII) Pascagoula, Miss., shipyard both build DDG-51s for the Navy. “I served in the private sector for 17 years and so it’s important for companies to clearly understand what the demand signal is moving forward,” he said. Regarding BIW, he indicated confidence that “we’ll be seeing multi-year procurements in the future” of that DDG class of destroyers, and that it “will support a continued stable workforce at Bath and also at Pascagoula.” In June, then-Acting SECNAV Thomas Harker told the Senate Appropriations Defense subcommittee the Navy plans to sign another DDG-51 Flight III multi-year procurement contract lasting from FY 2023-27. The Senate Appropriations Committee’s draft FY-22 defense bill report encouraged the Navy to get and finalize a follow-on contract for the next DDG-51 procurement starting in FY-23. (Defense Daily 11/04/21) In 2018, Ingalls was awarded a $5.1B fixed-price incentive, multi-year contract for construction of six Arleigh Burke-class Flight III destroyers for the Navy. In June 2020, HII-Pascagoula was awarded a $936M contract for the construction of a seventh DDG 51 Flight III destroyer. https://www.defensedaily.com/contract-awards/contract-award-reyes-construction-inc-pomona-california-7747804/
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