Trump’s $6.6 billion Anduril investment: What to know about the Baltimore sub facility

On Tuesday, President Donald Trump announced that the federal government and Anduril Industries are investing a significant $6.6 billion to build essential components for Virginia-class submarines in Baltimore-a move intended to advance US naval dominance.

The shipyard primarily known as Arsenal-2 will be supported by $3.7 billion in capital from Anduril and another $2.9 billion from an agreement between the company and the US Navy.

According to industry officials, the facility will be constructed at Sparrows Point on the site of the former Bethlehem Steel Plant to fabricate structural maritime components.

In this connection, White House deputy press secretary Anna Kelly said: “This delivers on President Trump’s promise to bolster America’s defense industrial base while revitalizing our manufacturing industry, creating over 13,000 direct and indirect jobs and driving $2 billion in annual economic output.”

“In line with the president’s maritime action plan released earlier this year, the Trump administration is rebuilding US shipbuilding capacity and capabilities, reforming workforce, education and training, protecting our maritime industrial base, and eliminating burdensome industry regulations.”

Earlier, Trump signed an executive order in April 2025 designed to rebuild US naval and shipping supremacy by challenging China’s monopoly on global maritime logistics.

The Navy canceled a Biden-era plan to restore the USS Boise in 2026 and restricted billions in funding toward Virginia-class subs. Furthermore, although the Navy had originally awarded a $1.2 billion contract to renovate the Boise, expenses have skyrocketed under former president Joe Biden.