Babcock International Group and HII Deepen Partnership for Virginia-Class Submarine Construction
Babcock International Group (Babcock) and HII (NYSE: HII) have signed a significant contract to expand their strategic partnership, supporting the construction of Virginia-class submarines and enhancing HII's Newport News Shipbuilding (NNS) division's throughput. This partnership will also bolster HII's submarine supply chain resilience.
This marks the first Virginia-class contract awarded to Babcock for NNS-specific submarine work, enabling the company to manufacture complex submarine assemblies at its Rosyth facility in Scotland for Block VI fast-attack submarines.
The expanded collaboration will increase the number of suppliers capable of performing large-scale structural work with the required quality standards.
Chris Kastner, HII's President and CEO, emphasized the importance of this development, stating, 'This is a significant milestone in our joint commitment to enhance the capabilities of both organizations, benefiting U.S. and U.K. programs. Babcock's expertise in the U.K. will strengthen our supplier base, bolster submarine production in the U.S., and support the trilateral AUKUS partnership.'
David Lockwood, CEO of Babcock International Group, added, 'Babcock's advanced manufacturing capabilities have allowed us to expand our missile tube assembly expertise, enabling us to deliver additional complex assemblies for the U.S. submarine fleet. This partnership with HII will optimize our combined capabilities, benefiting the broader AUKUS security alliance.'
The Secretary of State for Defence, John Healey MP, praised the partnership, saying, 'Today's announcement is a testament to the skills and capabilities of Scotland's defense industry. This expanded collaboration to support AUKUS submarines showcases the UK's emergence as a global leader in advanced marine and submarine engineering. The UK government is committed to supporting Scottish defense workers, fostering prosperity and opportunity across Scotland.'
The partnership between HII and Babcock has a history of collaboration, dating back to July 2023, when they entered into a strategic agreement to explore naval and civil nuclear decommissioning and construction opportunities in the U.K. and U.S. Since then, they have successfully worked together across the U.S., U.K., and Australia, including the Australian Submarine Supplier Qualification (AUSSQ) program, which aims to accelerate the integration of Australian suppliers and products into the U.S. submarine industrial base. This program is also set to expand to include products for the Astute-class submarines in the U.K.
At DSEI earlier this year, HII and Babcock signed a memorandum of understanding to integrate HII's REMUS unmanned underwater vehicles (UUVs) with Babcock's world-leading submarine Weapon Handling and Launch Systems (WHLS). This collaboration aims to enhance UUV Torpedo Tube Launch and recovery (TTLR) capabilities, further strengthening the undersea advantage of the UK Royal Navy and allied navies.
