IINA: Make Shipbuilding Great Again? Navigating the U.S. Shipbuilding Industry Between Protectionism and Partnership

By Lee Sanghoe, Research Fellow, Sasakawa Peace Foundation

The preeminent status of the U.S. Navy faces an unprecedented threat. Naval power fundamentally relies on shipbuilding capacity, yet the U.S. civilian shipbuilding sector has sharply declined. The hegemony in shipbuilding, which transitioned from Great Britain to the U.S. in the mid-20th century, has subsequently migrated through Japan and South Korea before ultimately arriving in China. As of 2024, Chinese shipyards account for over 55% of global commercial vessel production, while the U.S. share has dropped to 0.1%. The American shipbuilding industry, once supported by more than 60 large shipyards, now operates with only 20 facilities.