California: A Strong Shipbuilding State

Fifth in the nation for direct employment, California shipbuilding and repair industry supports nearly 35,000 jobs; Maritime Administrator highlights economic importance of shipyard industry for California while on tour at NASSCO 

Shipbuilders Council of America (SCA) member General Dynamics NASSCO hosted U.S. Maritime Administrator Paul “Chip” Jaenichen for a tour of the San Diego shipyard, where SEACOR Constitution – a 610-foot tank ship launched this weekend.

While on the tour, Administrator Jaenichen shared data from a report by the U.S. Maritime Administration (MARAD) that shows the U.S. shipbuilding and repair industry in California supports nearly 35,000 jobs, and contributes $2.3 billion in labor income and $3.6 billion in U.S. GDP. California is the fifth highest state in total private sector direct employment for shipbuilding and repair.

On the heels of recent new contract announcements and an uptick in repair business for the shipyard, the data highlighted by Administrator Jaenichen demonstrates California’s strength in the shipbuilding and repair industry as well as the national economic importance of the U.S. shipyard industry.  

“In today’s challenging maritime environment with vast global over capacity for vessels operating in international trade, the jobs created by our Nation’s shipyards and repair facilities that support our coastwise Jones Act trade and our Armed Forces provides both a beacon of hope and good news.  It is a potent reminder of the industry’s importance to the local and national economy,” said Maritime Administrator Paul "Chip" Jaenichen.

“The Administrator’s remarks while visiting NASSCO demonstrate not only the local importance of the shipbuilding and repair industry for California, but also the critical support on a national level the shipyard industrial base provides to economic and national security,” said SCA’s President, Matthew Paxton. “Our industry is leading the world in innovation and continuing to grow well-paying family waged jobs all across the country.” 

“The domestic shipbuilding and repair industry is an economic force that continues to supply high quality jobs throughout California. The importance of this industry cannot be understated and the latest job numbers continue to identify shipbuilding and repair as a critical part of the State and regional economies,” said U.S. Representative Duncan Hunter (R-CA). “Not many industries also contribute to American security and force projection the way the maritime industry does--and this remains a point of pride not just for workers and representatives of the industry, but the entire nation.” 

As reported in the Maritime Administration report, The Economic Importance of the U.S. Shipbuilding and Repairing Industry, the private shipbuilding and repair industry in 2013 supported over 399,000 jobs, contributing $25.1 billion in labor income and $37.3 billion in U.S. GDP.