GAO: US Navy’s shipbuilding woes continue, as ‘ships do not perform as expected’

The US Navy’s shipbuilding acquisition practices consistently resulted in cost growth, delivery delays, and ‘ships that do not perform as expected’, the US Government Accountability Office (GAO) has found.

In its recent report “Navy Shipbuilding: Enduring Challenges Call for Systemic Change”, GAO states that the US Navy hasn’t increased the number of ships in its fleet over the past 20 years—despite nearly doubling its shipbuilding budget. Its acquisition practices consistently result in growing costs and delivery delays. 

Specifically, GAO identified schedule risks in 2024 for the Constellation-class frigate program. The report reveals that construction of the lead frigate commenced before the ship’s design was finalized, a move directly contradicting established industry best practices and resulting in a projected delivery delay of at least three years.  

The GAO’s findings highlight a recurring pattern of costly delays and underperformance within the navy’s shipbuilding initiatives.

The frigate program’s issues bear striking similarities to the ‘troubled’ littoral combat ship (LCS) and Zumwalt-class destroyer programs.

Both prior programs suffered from unrealistic business cases, leading to substantial cost overruns and diminished operational capabilities. These programs, collectively, cost taxpayers tens of billions of dollars more than initially budgeted, while delivering significantly less than promised, it was noted.

“The Navy cannot expect to look within its existing playbook to find answers. Current challenges can provide the Navy leadership with the impetus to look for solutions outside of the existing defense acquisition paradigm,” GAO officials highlighted.

The GAO has previously identified these leading ship design practices, emphasizing their potential to streamline the acquisition process and mitigate risks. The report calls upon US Navy leadership to embrace these alternative approaches to prevent further costly delays and ensure the delivery of capable, reliable vessels.

The GAO’s findings underscore the urgent need for reform within the US Navy’s acquisition processes to safeguard taxpayer dollars and ensure the nation’s naval readiness.