Defense company Anduril Industries is establishing a new shipyard to manufacture components for military submarines.
President Donald Trump unveiled the Arsenal-2 facility in Baltimore County, Maryland, on Tuesday.
Anduril is investing $3.7 billion in the project, while the Navy has awarded the company a contract worth up to $2.9 billion tied to production outcomes.
“The facility will manufacture critical components for the Virginia-class submarine, adding significant new capacity to America’s submarine industrial base in support of the Navy’s effort to increase attack submarine production,” per Anduril in a media release.
“Arsenal-2 is designed as a product in its own right: a modern shipbuilding system built around software-defined production and advanced manufacturing.”
The facility spans more than 2 million square feet, roughly the equivalent of 40 football fields. It is projected to directly create 3,100 permanent jobs, support more than 11,000 indirect jobs, and drive $2 billion in annual economic output, with an estimated $312 million in wages each year.
Operations are expected to come online in 2030, with production scaling progressively thereafter as the workforce, supplier base, infrastructure, and manufacturing throughput required for submarine production are developed.
According to WBAL-TV, Maryland and Baltimore County will match up to 13% of the anticipated investment through existing economic incentive programs and new appropriations.
“What we’re really focused on here is being able to build an entire shipyard with a software and digital foundation,” said Chris Brose, Anduril’s president and chief strategy officer.
