Navy awards over $1 billion contract to Electric Boat - what is it for?

GROTON — General Dynamics Electric Boat announced that it has been awarded a $1.076 billion contract from the U.S. Navy. This funding helps provide lead-time material and advanced construction for the Virginia class submarines, including purchases for hulls 812 and 813, according to a press release. The Virginia class submarines are attack submarines specialized for coastal operations.

“This contract modification sends a crucial demand signal to the submarine industrial base, enabling our suppliers to invest in the capacity and materials needed to increase production volume,” stated Kevin Graney, president of General Dynamics Electric Boat, in the press release.

This funding comes to ensure an build rate of two submarines yearly. U.S. Rep. Joe Courtney considers this a sign that the Navy wants to stay good on security agreements, and to encourage industry to keep up with demand, he said in a press release from his office.

More: Electric Boat looking to hire 5,750 new workers this year in CT and RI facilities

“Electric Boat is well-positioned to deliver the high-quality submarines our Navy and partners need, and will continue our region’s longstanding role as the nation’s leader in submarine manufacturing,” he said.

While the new funding won’t have much of a workforce impact in eastern Connecticut, as it is for Electric Boat’s supply chain across the country, the continued commitment of the Navy and the administration is appreciated. Going forward, it is hoped there will be more funding support on the state side for the Manufacturing Pipeline Initiative job training program in the state’s budget, Michael Nogelo, president and CEO of the Eastern Workforce Investment Board said.

“That will be good news for the Manufacturing Pipeline Initiative and our ability to train folks for Electric Boat and other eastern Connecticut manufacturers,” he said. “We’re also exploring other avenues to make sure we’re meeting industry demand.”

Virginia-class submarines are designed to be versatile vessels including uses in anti-submarine and surface ship warfare and special operations support, the Electric Boat press release states

The two submarines to be built in FY 2024 are options from the Block V contract from Dec. 2019, in which provided $22.2 billion in funding to construct 10 submarines, seen as a significant increase in funding.

This article originally appeared on The Bulletin: Navy awards Electric Boat $1 billion contract Virginia Class submarines