US considers Japan, South Korea to boost naval ship production

The Pentagon is considering a major shift in naval procurement strategy, exploring the possibility of outsourcing warship design and construction to partners in Asia amid mounting pressure on US shipbuilding capacity.

A proposed $1.85 billion feasibility study, included in the 2027 budget, will assess whether the US Navy can adopt or co-produce advanced frigate designs such as Japan’s Mogami-class and South Korea’s Daegu-class, according to Chinese media. The move is aimed at easing strain on domestic production lines, which have been hit by delays, labour shortages, and rising costs.

If implemented, it would mark the first time since World War II that the United States procures a major surface combatant from a foreign partner.

The initiative reflects growing concern over a widening naval production gap with China, which is currently building six to 10 destroyers annually—far outpacing US output.

Both the Mogami- and Daegu-class frigates are equipped with US-standard systems, including the MK-41 vertical launching system. The Japanese Mogami-class, with a 5,500-tonne stealth hull and high automation, can be built in about two years at roughly $500 million per ship. By contrast, the US Constellation-class frigate has faced delays of at least three years and projected costs exceeding $1 billion, contributing to the program’s eventual cancellation.

US officials say the Navy needs additional ships urgently. “If we cannot get the ships we need from traditional sources at cost and on time, we will get them from other shipyards,” said Russ Vought, director of the White House Office of Management and Budget.

The plan could involve incorporating foreign designs and potentially building some vessels overseas. However, it faces significant legal and political obstacles. US law requires Navy ships to be constructed domestically, meaning any foreign involvement would require a presidential waiver and is likely to meet strong opposition from Congress, labour unions, and local shipbuilders.

To address these concerns, proposals include allowing foreign defence firms to invest in US shipyards and transfer advanced manufacturing technologies. South Korea’s Hanwha has already acquired the Philly Shipyard, a move cited by Pentagon officials as a model for expanding domestic capacity through foreign partnerships.

By Tamilla Hasanova