Strome Business Minute With Dr. Jeff Tanner

General Dynamics Electric Boat division and Huntington Ingalls’ Newport News Shipbuilding just closed a joint twenty-two billion dollar deal with the US Navy to build nine Virginia-class submarines. The contract is the largest ever awarded by the US Navy, some 50% larger than the 2 carrier deal awarded earlier this year, and includes an option to buy a tenth submarine. The first submarine under this contract will be delivered in 2025; the Navy already has eighteen of the fast attack subs in the fleet with more on the old contract. Newport News Ship and Electric Boat both had to double production to two subs per year in order to win the joint contract, which includes a version with three times the Tomahawk missile capacity.