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Akbar Novruz

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The United States is reportedly considering outsourcing parts of its warship design and construction to allies such as South Korea and Japan, in what could mark a historic shift in its naval procurement strategy, AzerNEWS reports via SCMP.

According to US media reports, the proposal includes a US$1.85 billion feasibility study as part of the 2027 budget, which will assess whether advanced foreign-designed vessels—such as Japan’s Mogami-class and South Korea’s Daegu-class frigates, can be co-produced or directly adopted to supplement strained US Navy production lines.

If implemented, the plan would represent the first time since World War II that the United States acquires a major surface combatant designed abroad.

The initiative comes amid growing frustration within the administration over delays, labour shortages, and cost overruns in the domestic shipbuilding industry, alongside concerns over a widening gap with China’s naval output. China is currently producing an estimated six to ten destroyers per year, significantly outpacing US production rates.

The Mogami-class frigate, with a 5,500-ton stealth hull and high automation, and South Korea’s 3,600-ton Daegu-class frigate, featuring a silent propulsion system, are both considered cost-efficient alternatives. Both platforms are compatible with US-standard systems, including the MK-41 vertical launching system.

A basic Mogami-class ship costs roughly US$500 million and can reportedly be built in around two years, compared to the US Constellation-class frigate, which exceeds US$1 billion per unit and has faced multi-year delays.

Australia has already ordered 11 upgraded Mogami-class vessels in a deal worth A$20 billion (US$14.4 billion), with production split between Japan and Australia.

US officials have signalled urgency over the issue. Russ Vought, director of the White House Office of Management and Budget, said the Navy needs new ships “right now” and warned that alternative sources would be considered if domestic production continues to fall behind.

The proposal, however, faces significant legal and political barriers. Current US law requires naval vessels to be built domestically, meaning any foreign involvement would likely require a presidential waiver and could face strong opposition from shipbuilding states, labour unions, and lawmakers.

To address these constraints, discussions are also underway on allowing foreign defence firms to invest in and modernise US shipyards. South Korean conglomerate Hanwha has already acquired the Philly Shipyard in Philadelphia, a move cited by US officials as a potential model for future cooperation.

While still at the feasibility stage, the proposal reflects a broader reassessment of US industrial capacity amid intensifying strategic competition with China.