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General Dynamics Gets $1B Navy Contract Modification for Virginia-Class Submarine Materials

The U.S. Navy has awarded a General Dynamics subsidiary a $1 billion contract modification to provide long lead time materials to support the construction of Block VI Virginia-class nuclear-powered attack submarines.

Scope of Contract Action

The Department of Defense said Tuesday General Dynamics Electric Boat will perform work on the undefinitized contract action in California, New Jersey, Pennsylvania, Illinois, New Hampshire, South Carolina, Connecticut, Minnesota, Arizona, Massachusetts, Wisconsin, New York and other locations through September 2035.

Naval Sea Systems Command, or NAVSEA, is obligating the full contract amount using the service branch’s shipbuilding and conversion funds for fiscal 2025.

“This contract modification drives continuation of the crucial demand signal that the submarine industrial base needs to invest in the capacity and materials required to increase production volume,” Mark Rayha, president of General Dynamics Electric Boat, said in a statement published Tuesday.

“Consistent funding for the supply base is essential to achieve the high-rate production the Navy requires of the entire submarine enterprise,” Rayha added.

Previously Awarded Contract Modifications

In October 2024, the General Dynamics business received a $349.7 million undefinitized contract modification to supply long lead time materials for the Block VI Virginia-class submarines.

In August 2024, Electric Boat secured a $1.3 billion award from NAVSEA to provide materials for the submarines.

Virginia-class submarines are designed to support special operations, anti-submarine and surface ship warfare missions.

Electric Boat serves as the prime contractor on the Virginia-class submarine program and builds the underwater vehicle through a partnership agreement with HII’s Newport News Shipbuilding business.

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