Military's Budget May Cut EB's Submarine Production in Half

Electric Boat's submarine production may be cut in half under new military spending plan.

Two congressmen are working to prevent cuts that would diminish funding for Virginia-class submarines built by General Dynamics Electric Boat. Congressmen James Lanvegin (D-RI) and Joe Courtney (D-CT) submitted draft legislation that would allow the company, with locations in both Groton, CT and North Kingstown, RI, to continue its two-boats-per-year production level in 2014.

The military’s recently released Future Years Defense Program would cut submarine production from two to one for the U.S.Navy in fiscal 2014. In March, Langevin and Courtney wrote to the House Appropriations Defense Subcommittee to appeal the military’s plan and seek alternatives that “would sustain submarine construction at two a year in 2014 and through [the military’s five year plan].”

“Last week’s news that Electric Boat delivered the most recent Virginia Class Submarine 363 days ahead of schedule and $60 million under budget demonstrates the ability to achieve tremendous production efficiencies and cost savings in this program,” said Langevin. “With the actions taken this week, we are all but assured that the measures necessary to prevent a cut will come to the House floor with broad support, and I look forward to continue advocating for them.

“It would be irresponsible to slow down production now, which would put at risk benefits already achieved and could increase the cost for taxpayers by $600 million because we will need these boats in the long term to meet essential needs.”

The nuclear submarine builder recently expanded and looks to add 250 jobs this year a total of 500 new positions over the next two years. Construction wrapped recently on a new $50-million facility at its Quonset location. The company employs more than 2,300 people in Quonset.