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NEW REPORT: U.S. Shipyards Contribute Nearly $2 Billion to Pennsylvania, New Jersey and Delaware Economies

Bipartisan Congressional Delegation Visits Philly Shipyard, Inc. Discusses Critical Role of U.S. Shipbuilding to

Jobs and Regional Economic Growth 

 

PHILADELPHIA –  A bipartisan congressional delegation of nine U.S. Representatives visiting Philly Shipyard, Inc., today highlighted the role that the U.S. shipbuilding and repair industry plays in our national, domestic and economic security.   Citing a new study by the U.S. Maritime Administration (MARAD), the lawmakers shared that U.S. shipyards in Pennsylvania, New Jersey and Delaware contributed more than $2 billion to area economies and supported nearly 16,000 local family-waged jobs. Additionally, the report found that each direct job in the shipbuilding and repair industry, another 2.67 jobs are created.

“U.S. Shipyards not only are leading the world in designing and building innovative commercial and military vessels, but are proud to also contribute to local economies and to employ the workforce of the future,” said Shipbuilders Council of America President, Matthew Paxton. “Pennsylvania, New Jersey and Delaware are tremendous examples of the value of the shipbuilding and repair industry, as well as the affiliated industrial base, to economic growth both at the local and national levels.

The delegation toured Philly Shipyard, Inc., surveyed the building progress on the National Security Multi-Mission Vessels (NSMV), and learned more about the site’s maintenance and repair program for other government vessels.

The Congressional delegation in attendance included:

Congresswoman Mary Gay Scanlon (D-PA)

Congressional Shipbuilding Caucus Co-Chair Joe Courtney (D-CT)

Congressman Donald Norcross (D-NJ)

Congresswoman Sara Jacobs (D-CA)

Congressman Jerry Carl (R-AL)

Congresswoman Madeleine Dean (D-PA)

Congresswoman Chrissy Houlahan (D-PA)

Congressman Conor Lamb (D-PA)

Congresswoman Vicky Jo Hartzler (R-MO)

“In 2016, the House Seapower Committee wrote the law that authorized new construction of modern training ships for America’s maritime academies. It is exciting five years later to see that effort has become a reality at Philly Shipyard. Without that work being performed right now at this historic shipyard, our nation would soon be facing a dangerous shortage of qualified mariners to crew commercial and government-owned sealift ships during crises,” said Chairman Courtney. “For the city of Philadelphia, the NSMV program, funded by the US Maritime Administration, means good, high-paying jobs, which the shipbuilding sector provides. It is a great example of the economic benefits of Made in America shipbuilding.”

“Philly Shipyard plays a vital role in both our national security apparatus and our local economy here in Southeastern Pennsylvania, providing thousands of good-paying jobs,” said Rep. Houlahan. “As the only Pennsylvanian to serve on the Armed Services Committee in Congress, I have been a fierce advocate for the work that happens at Philly Shipyard, the work it does, the jobs it provides and the unique and pivotal role it plays in defending our country. What continues to be clear is that Southeastern Pennsylvania is well positioned to meet the anticipated future needs of defense and commercial shipping with a high-skilled labor force. In Congress, I will continue to advocate for these priorities and these jobs. Most recently, I have advocated for funding to develop the next generation hospital ship using the National Security Multi-Mission Vessel (NSMV) model. I’m grateful for the opportunity to be here today and look forward to our continued work together.

“Philadelphia’s history as a hub for American shipbuilding dates back more than two centuries — starting with the very founding of our nation, when the Continental Congress leased land along the city’s waterfront to support naval defense,” said Rep. Scanlon. “Shipbuilding helped build the middle class in our region, and I want to ensure it continues to play that role for decades to come. It is my honor to represent the Philly Shipyard as part of Pennsylvania’s 5th Congressional District. We are home to a first-class facility and the best workforce in the country, and the Shipyard is once again contributing significantly to our national security through its work on the fleet of the National Security Multi-Mission Vessels. The jobs here at the Shipyard are exactly what we need more of — good-paying jobs with good benefits that can launch people into the middle class and help strengthen our regional economy.”

 

“Since the beginning, there has been great bipartisan support for the NSMV program,” said Steinar Nerbovik, President and CEO, Philly Shipyard, Inc. “It is a great feeling to see so many members of Congress remain invested in the success of the program as we continue in our first year of production. Touring our facility today really helps to illustrate the impact U.S. shipbuilding programs can have on job creation. Our workers are making a direct impact on the U.S. maritime industry, and that impact will continue as we expect to double our workforce over the course of the NSMV project. It’s a great day to be a shipbuilder in Philadelphia, and we want to see these days continue far into the future.”

MARAD’s 2021 report found that, based on 2019 data, total economic activity from the shipbuilding and repair industry resulted in nearly 400,000 jobs, $28.1 billion in labor income, and $42.4 billion in GDP.  According to MARAD’s Report, currently 154 active private shipyards and more than 300 repair shipyards operate in 29 states and the U.S. Virgin Islands, with most located in coastal states or in states with major inland waterways.  The full report can be found here.

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Shipbuilders Council of America (SCA) members constitute the shipyard industrial base that builds, repairs, maintains and modernizes U.S. Navy ships and craft, U.S. Coast Guard vessels of all sizes, as well as vessels for other U.S. government agencies. In addition, SCA members build, repair and service America’s fleet of commercial vessels. The Council represents 40 companies that own and operate over 82 shipyards, with facilities on all three U.S. coasts, the Great Lakes, the inland waterways system, Alaska, and Hawaii. SCA also represents 105 partner members that provide goods and services to the shipyard industry. You can learn more by visiting www.shipbuildersusa.org.