The US Navy, a crucial instrument for Washington's military power projection, faces severe constraints due to its diminished shipbuilding capacity. US global shipbuilding production has plummeted from 90% to less than 0.13%, while China fulfills 71% of global orders, producing 232 times more tonnage. The People’s Liberation Army Navy (PLA Navy) now surpasses the US Navy with 234 warships to 219, projected to reach 435 by 2030.
In 2025, the US Navy decommissioned 19 ships while commissioning only two, a net loss of 17 vessels. The PLA Navy's Type 055 destroyers also feature superior missile capacity and hypersonic capabilities. Recent operations, like the Iran war, exposed the US Navy's inadequate anti-drone defenses, forcing multi-million dollar interceptors against $20,000 drones, creating a 1,400:1 cost asymmetry. This inability to rapidly construct new vessels hinders technology integration, forcing costly retrofitting. In a protracted conflict, the United States would likely lose ships faster than it could replace them, a critical disadvantage against China's robust industrial base. To maintain its naval advantage, the US must significantly enhance its shipbuilding capabilities.
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