Product Operations Associate - Tier 1

$6.6 billion Anduril partnership for Sparrows Point submarine shipyard. The Trump administration is turning to a defense technology giant in a $6.6 billion effort to speed production of submarines as the U.S. struggles to keep pace with China's vast shipbuilding capacity. The ramp-up in production brings a Silicon Valley-style manufacturer into one of the Pentagon's most troubled industrial bases as they fall behind the expected pace of two Virginia-class attack submarines per year. Anduril will build a more than 2-million-square-foot shipyard at Sparrows Point shipyard just outside of Baltimore to manufacture critical submarine components, eventually scaling up to large sections of the vessels. A senior administration official said the facility could add roughly 9 million labor hours a year, equivalent to about a 15% increase in submarine production capacity. The Trump administration is turning to defense technology giant Anduril in a $6.6 billion effort to speed production of Virginia-class attack submarines, bringing a Silicon Valley-style manufacturer into one of the Pentagon's most troubled industrial bases.(Colin Murty via Reuters) The investment takes aim at a problem the Navy has struggled for years to solve: shipyards are delivering roughly 1.3 Virginia-class submarines a year, well short of the Navy's goal of two, even as demand for the nuclear-powered attack boats grows. The Navy currently projects reaching the two-per-year rate around 2032. It currently has 26 Virginia-class submarines and expects to add two more in the spring, according to a senior administration official.and For the submarine project, Anduril plans to invest $3.7 billion of its own capital to build the facility, workforce, and manufacturing capacity. The Navy could spend up to another $2.9 billion purchasing the resulting production. The deal represents an unusual bet on a commercial model for fixing one of the Pentagon's most stubborn industrial problems: Anduril will risk billions of dollars of its own capital building new submarine production capacity, while the Navy pays for what the company can successfully produce. "I wouldn't say that the government's paying us back. We feel the government [is] buying the results of what we're able to produce," an industry official told reporters of the deal. The deal also deepens Anduril's growing relationship with the Pentagon just days after War Secretary Pete Hegseth tapped company founder Palmer Luckey, along with Elon Musk and former House Speaker Newt Gingrich, to launch Project Meridian - a 120-day study of how future wars will be fought and what weapons and technologies the U.S. military will need. The arrangement puts Luckey in a position to help shape recommendations about the Pentagon's future technology needs as the company he founded expands its own business selling weapons and other systems to the department. Project Meridian does not have procurement authority, and the Pentagon has said "appropriate" safeguards will be used to address potential conflicts of interest. Tuesday afternoon to formally announce the new initiative in Baltimore alongside Anduril leadership. Infographic showing a US Virginia-class nuclear submarine, plus a delivery schedule to Australia under the 2021 AUKUS agreement, according to details set out in a US congressional research paper. (NICHOLAS SHEARMAN/AFP via Getty Images) Anduril will work under General Dynamics Electric Boat and alongside HII's Newport News Shipbuilding, initially producing components that have become bottlenecks in the construction of new Virginia-class boats. Among the first will be torpedo tubes, which a senior administration official described as a current "gating component" holding up production. The official said getting those tubes earlier could allow the Navy to move. Anduril has already begun work on torpedo tubes at a facility in California and plans to shift that production to Baltimore as the new shipyard, dubbed Arsenal-2, comes online. The company eventually hopes to move from individual components to complex modules and large sections of submarines. "We just need new production capacity," an industry official said. "We need to grow the maritime industrial base, the submarine industrial base, so that we can produce more submarines." The company plans to build Arsenal-2 around software, automation, and digital manufacturing to break historically complex shipbuilding work into simpler tasks that can be done without years of shipyard experience. The deal also deepens Anduril's growing relationship with the Pentagon just days after War Secretary Pete Hegseth tapped company founder Palmer Luckey, along with Elon Musk and former House Speaker Newt Gingrich, to help lead Project Meridian, a 120-day study of how future wars will be fought and what weapons and technologies the U.S. military will need.(Kyle Grillot/Bloomberg via Getty Images) The push comes as the Navy faces growing pressure to expand the attack-submarine fleet while also preparing to transfer Virginia-class submarines to Australia under the AUKUS security pact. Meeting those commitments will require the industrial base not only to reach the Navy's longstanding two-per-year goal but eventually move beyond it. Arsenal-2 is expected to create 3,100 direct jobs and another 11,000 indirect jobs nationwide. Anduril expects the Baltimore facility to begin operations around 2030, though the company said production of some submarine components is beginning now in California. The approach will still have to clear the certification and safety requirements that govern nuclear submarine construction. Anduril acknowledged that it will have to prove it can meet those standards before graduating from individual components to increasingly complex sections of the boats. Business & Markets Reporter 01.01.2020, 18:23 - Politics 01.01.2020, 13:33 - Politics 01.01.2020, 08:38 - Politics 01.01.2020, 07:48 - Politics 01.01.2020, 07:32 - Fun 01.01.2020, 05:53 - Politics 01.01.2020, 21:52 - US News 01.01.2020, 21:39 - US News

US Navy, Anduril unveil $6.6B shipyard plan for submarine parts production. October 7, 2026 (Credit: Anduril Industries) Anduril Industries plans to invest $3.7 billion in a new Maryland shipyard to manufacture Virginia-class submarine components and other subsea systems, alongside a U.S. Navy contract worth up to $2.9 billion tied to production targets. The Arsenal-2 facility will be built at Tradepoint Atlantic in Sparrows Point, Baltimore County, with permitting and site preparation beginning immediately and initial operations expected in 2030. The combined public and private investment totals $6.6 billion, with Anduril set to build and operate the site. The U.S. Department of War said the facility is expected to be the largest of its kind in the United States and will be designed to produce submarines, submarine components and autonomous underwater vessels. Under the Navy contract, payments of up to $2.9 billion will be tied directly to demonstrated production outcomes, while Anduril will provide the $3.7 billion private investment. Arsenal-2 will manufacture complex components and large-scale assemblies for Virginia-class attack submarines before delivering them to General Dynamics Electric Boat and Huntington Ingalls Industries' Newport News Shipbuilding for final assembly. The additional manufacturing source is intended to allow more submarine construction to take place in parallel and expand overall production capacity. The planned facility will cover more than 2 million square feet on a 187-acre site and include a 1,200-foot graving dock, high-bay assembly halls, fabrication areas and reconfigurable production lines. Anduril's ArsenalOS industrial software platform will connect production workflows, material movement, inspections and documentation across the yard. "Today, we're officially launching the construction of the largest new shipyard in the United States. Since World War II, there's been nothing like what we're doing today," said President Donald Trump. The project is expected to create 3,100 direct jobs and support more than 11,000 indirect jobs, while generating an estimated $2 billion in annual economic output. Ahead of Arsenal-2 becoming operational, Anduril is establishing a 160,000-square-foot facility in Orange County, California, to manufacture critical Virginia-class submarine components and develop production processes and quality systems. The site will support production of test assets and maritime components including torpedo tubes, giving the company a two-year operational head start before the Maryland facility comes online Virginia-class submarines are currently built by General Dynamics Electric Boat and Newport News Shipbuilding, with additional industrial capacity required to meet U.S. fleet requirements and AUKUS commitment.

How rising mortgage rates are hitting the housing market hard. Presented by PolitiSizeIT | Business & Economy | | Business & Economy | | The Big Story | | How rising mortgage rates are hitting the housing market hard | | Rising mortgage rates are lowering the odds of prospective homebuyers entering the market and adding to the tough economic slate for President Trump and the GOP ahead of the midterms. | | (C) Seth Wenig, Associated Press | | The average 30-year fixed mortgage rate was 7.28 percent last week, the highest mark since late November 2023, according to data from Freddie Mac. The average rate also rose by a quarter point from the week prior, the largest week-to-week increase in four-plus years. Rising mortgage rates are part of a rough financial ledger for Trump and Republicans, as inflation remains above 3 percent and fuel prices stay elevated amid the Iran war. "Economy, cost of living, that kind of congealing will be [important], certainly it has been for the last... two years, for voters in '26," GOP strategist Matt Gorman told The Hill. Experts point to multiple factors for why mortgage rates have shot up above 7 percent. Lawrence Yun, the chief economist at the National Association of Realtors (NAR), noted increased energy prices during the Iran conflict have pushed inflation up. Annual inflation, as measured by the personal consumption expenditures price index, has increased from 2.8 percent in February to 3.4 percent in August, according to data from the Bureau of Economic Analysis. Read the full report at TheHill.com tomorrow. | | Welcome to The Hill's Business & Economy newsletter, I'm Max Rego - covering the intersection of Wall Street and Pennsylvania Avenue. | | Did someone forward you this newsletter? Subscribe here. | | Essential Reads | | Key business and economic news with implications this week and beyond: | | Anduril to invest $3.7B in new Baltimore shipyard to build Virginia-class submarine parts | | Defense contractor Anduril is planning to invest $3.7 billion into a new shipyard in Sparrows Point, Baltimore, to manufacture parts for Virginia-class submarines. | | Full Story | / | | Emmy Awards exit broadcast TV, ink six-year Prime Video streaming deal | | The Emmy Awards is going streaming - after more than 75 years on broadcast TV, the ceremony is making the move to Amazon Prime Video. | | Full Story | / | | Judge skeptical of FCC's move to scrutinize ABC station licenses | | A federal judge in D.C. on Tuesday declined to immediately rule on whether the Federal Communications Commission (FCC) should be stopped from conducting an early review of broadcast licenses belonging to a handful of local ABC stations across the country. | | Full Story | / | | Paramount closes deal to acquire Warner Bros. Discovery | | Paramount Skydance officially closed its multibillion-dollar deal to acquire fellow media giant Warner Bros. Discovery (WBD) on Tuesday, creating the largest provider in news, sports and entertainment offerings in the world. | | Full Story | / | | Good to Know | | Business and economic news we've flagged from other outlets: | | * Google enters massive 3.6-GW power deal with Constellation Energy (Reuters) * Trump administration presses Congress for anti-fraud legislation (Semafor) * Wall Street bonuses are expected to hit another high this year (Wall Street Journal) | | What People Think | | Opinions related to business and economic issues submitted to The Hill: | | * Support for small businesses suggests socialism's shine is overstated | | You're all caught up. | | Check out The Hill's Business page for the latest coverage. | | Like this newsletter? Take a moment to view our other topical products here | | | Privacy Policy | Manage Subscriptions | Unsubscribe | | 400 N Capitol Street NW Suite 650, Washington, DC 20001 | | Copyright (C) 1998 - 2024 Nexstar Media Inc. All Rights Reserved.