MOBILE, Ala. — Austal USA celebrated the opening of a new steel shipbuilding facility on Tuesday, marking a major expansion for the Mobile shipbuilder that had long worked exclusively with aluminum.
The steel production line at the company’s riverfront yard will be capable of building both steel and aluminum ships for the U.S. Coast Guard and Navy. Austal USA President Rusty Murdaugh said the investment will allow the company to continue growing its business in Alabama for many years to come.
$100 million bet on the future of military shipbuilding
The project, which broke ground in early 2021, was backed by a $50 million Department of Defense contribution that Austal matched dollar-for-dollar, bringing the total to roughly $100 million. Much of the facility uses robotics and computerized steel machinery, though the company says employees will still play a central role in building ships at the new line.
Gov. Kay Ivey, who attended the unveiling, drew a historical parallel to Mobile’s wartime ship production. “During WWII, Mobile workers built steel liberty ships that were critical to the war effort, and now in the coming years, Austal will look to deliver steel ships again needed by the U.S. Coast Guard and Navy,” Ivey said.
Beyond the shipyard
The expansion extends well beyond Austal’s own workforce. The new facility is expected to support approximately 240 suppliers in the Mobile area, making it a meaningful economic development win for the Port City.
Mobile Mayor Sandy Stimpson, also on hand for the opening, said he believed Mobile was on its way to becoming the model for naval shipbuilding in the country. “That it is being done in Mobile is something all Mobilians will hopefully embrace and enjoy — this jewel that we have here,” Stimpson said.