Ensuring Naval Readiness Act

The Ensuring Naval Readiness Act would create an exception to the current federal prohibition on constructing U.S. Navy vessels in foreign shipyards. If enacted, the bill would permit naval vessel construction in shipyards located in NATO member countries or Indo-Pacific nations with mutual defense treaties with the United States, provided that construction costs are lower than building the ships domestically. Before any foreign construction could proceed, the Secretary of the Navy would be required to certify to Congress that the foreign shipyard is not owned or controlled by Chinese companies or Chinese-based multinational corporations.

The bill addresses concerns about the U.S. Navy's current fleet size and production capacity. The Navy currently operates 291 ships but aims for a fleet of 355 ships according to its 2016 Force Structure Assessment. Supporters argue that allowing construction in allied shipyards could accelerate production timelines, reduce costs, and leverage shipbuilding expertise of strategic partners like South Korea and Japan. The bill is currently under consideration by the House Committee on Armed Services and has not yet been voted on by the full House.