Trump: Government will take massive stake in ‘next generation’ submarine shipyard

President Trump said Tuesday that American taxpayers will get a 40 percent stake in the planned shipyard in Sparrows Point, Md., an unincorporated industrial area in Baltimore County, which he visited Tuesday.

“In the ultimate proof of our commitment to ensuring shipyards enduring success American taxpayers will receive 40 percent stake in the new shipyard,” Trump said.

“We get 40 percent and the storied grounds of Sparrow’s Point will never fall silent again,” he continued. “There’s a tremendous amount of activity going on.”

Defense contractor Anduril is planning to invest $3.7 billion in the new shipyard to manufacture parts for Virginia-class submarines. The company secured up to a $2.9 billion contract with the U.S. Navy to help establish the facility, a 2 million square-foot project to be dubbed Arsenal-2.

Virginia-class submarines are nuclear-powered attack submarines that have vertical launching system-launched cruise missile capability. Efforts to build the submarines have been hampered by not having enough experienced workers, and the late delivery of materials, according to a July report from the Government Accountability Office (GAO).

Trump, who is seeking to tout his efforts on the economy amid polls that suggest Republicans are in for a tough midterm election next month because of souring voter moods on affordability, touted the project as part of $21 trillion being invested into the U.S. He said it would create 3,000 jobs in Maryland.

“But we are doing like no country has ever done: $21 trillion. And we’re building plants. We’re building everything,” he said.

Under the Trump administration, Washington’s portfolio has grown to include stakes in over 30 companies , including a 9.9 percent stake in Intel and 10 percent direct ownership of Trilogy Metals.