Austal USA breaks ground on massive ship facility, promises 1,100 jobs

MOBILE, Ala. (WPMI) — Austal USA, the Mobile-based ship manufacturer, is building a massive final assembly facility.

The company broke ground on the future site of the assembly building on Tuesday.

“This is truly a project that defines our state and defines the Mobile area. Austal, what a great company. 25 years of continued investment in our state and in this community. It is truly momentous, it really is,” said Alabama Secretary of Commerce.

The new final assembly facility will allow for the company to erect large steel modules for Coast Guard and Navy ships, including offshore patrol cutters and TAGOS-25 ocean surveillance ships. Along with the new building, Austal is adding a new ship lift and completing waterfront improvements.

Larry Ryder, Austal USA Vice President of Business Development and External Affairs, says there will be about 1,100 jobs associated with the new building.

“It’s going to be a major increase in capacity to build larger steel ships,” he said.

According to the Mobile Chamber, the major addition represents a capital investment of more than $288 million.

“I think the fact that we’re continuing to win work speaks to the quality of our workforce and our ability to meet the demands of the navy and the coast guard customers,” said Ryder.

When it’s complete, the assembly building will almost double the indoor erection space Austal USA currently has, according to Ryder. The building will occupy four and a half acres and add over 192,000 square feet of covered manufacturing space.

“We’ve got some pretty large buildings. We are going to build two more large buildings. Our programs are continuing to grow. We have $10 billion of backlog of awards that we have won that we need to execute on,” said Ryder. “We’re just going to keep doing what we have been doing. We are going to keep building ships. We’ve got a great workforce delivering quality ships, and we’re going to continue to be a part of the community.”

The new facility is expected to be completed and operational by the summer of 2026.