Navy Awards $2.9 Billion Anduril Deal For Maryland Submarine Plant

The U.S. Navy awarded Anduril a $2.9 billion contract to manufacture Virginia-class submarine components at a former Bethlehem Steel site near Baltimore on Tuesday, October 6, 2026.

Anduril President Christian Brose said the firm will invest $3.7 billion and expects to create more than 3,000 direct jobs, with the new shipyard slated to open in 2030. President Trump is scheduled to visit the site and announce a related federal investment during an event in Maryland.^[1]

Tradepoint Atlantic operates the redevelopment at the former Bethlehem Steel complex and has already received major tax credits tied to the site. Maryland and Baltimore County officials are expected to provide hundreds of millions of dollars in additional tax subsidies to support the Anduril project.

Defense Secretary Pete Hegseth recently named Anduril co-founder Palmer Luckey to a three-person Pentagon task force on the future of war, joining Elon Musk and Newt Gingrich, a move that ties the company more closely to national defense policy debates.^[1]

Local officials and business leaders say the contract could reshape the Baltimore regional economy by restoring large-scale shipbuilding capacity and creating thousands of industrial jobs, while critics warn about the scale of public subsidies being offered to a private defense firm.^[1]

1. New York Times