In a major defense manufacturing expansion, President Donald Trump visited Sparrows Point in Baltimore County, Maryland, on Tuesday to showcase a $3.7 billion investment led by defense technology firm Anduril Industries, aimed at strengthening the nation’s naval fleet.
The public-private initiative centers on establishing a state-of-the-art “software-defined” manufacturing facility, known as Arsenal-2, on the historic grounds of the former Bethlehem Steel site at Tradepoint Atlantic.
The new complex is designed to bolster submarine production by deploying advanced digital assembly tools, modern manufacturing automation and high-tech software workflows — alongside skilled industrial labor.
The high-tech shipyard will focus primarily on fabricating key structural assemblies and gating hardware for the U.S. Navy’s nuclear-powered attack submarines, specifically targeting critical bottlenecks in the production of Virginia-class vessels.
Administration officials highlighted that producing complex components — such as torpedo tube assemblies and pressure hull segments — at the Baltimore site will relieve existing capacity constraints across defense supply chains, effectively providing up to nine million hours of annual labor capacity and boosting nationwide Virginia-class submarine production by an estimated 15%.
The facility will scale gradually, beginning with vital submersion-safe structural components before expanding toward more complex sub-assemblies as quality standards are met.
