The Red Line 127 - Sunk Cost: The US. Navy's Shipbuilding Crisis
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Dec 23, 2024 In a deep dive on U.S. naval shipbuilding, guests include John Konrad, CEO of GCaptain and former Coast Guard captain; Emma Salisbury, naval history expert; Matthew Funaiole, China Power Project scholar; and Thomas Shugart, former Navy officer. They dissect the Navy’s operational challenges, tracing the decline in U.S. shipbuilding since WWII, the pitfalls of bureaucracy, and the urgent need for reforms. The contrast with China's military integration strategy highlights risks for U.S. security, underscoring the critical need for renewed investment in naval capabilities.
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Shipbuilding Crisis Root Causes
The U.S. shipbuilding industry suffers from a lack of subsidies and investment compared to China, leading to significant delays and budget overruns. This decline stems from historical policy choices and shifting priorities in Congress.
Vulnerabilities of U.S. Shipyards
U.S. private shipyards are primarily focused on military contracts with little commercial work, making them vulnerable to project cancellations and delays. This limits their ability to pivot and maintain a steady workforce.
Avoid Frequent Design Changes
Limit design changes during production to prevent delays and cost overruns. Stick to finalized designs to ensure timely delivery of ships.