Fairbanks Morse Eyes Seawolf Submarine Repairs
The defense contractor is in talks with the Navy as it expands submarine maintenance work and its Mississippi propulsion facility.
Updated on Nov. 5, 2026 in Manufacturing
Fairbanks Morse Defense is in discussions with the Navy about conducting maintenance on Seawolf-class submarines, following an approximately $100 million follow-on contract awarded in October. The company is also expanding its Bird-Johnson Propeller Company subsidiary facility in Pascagoula, Miss.
Why it matters
The work addresses a projected post-2029 submarine deficit tied to possible delays in Columbia-class and Virginia-class construction and the retirement of aging vessels. Navy maintenance performance has also drawn scrutiny after a recent government report.
Fairbanks Morse completed emergency diesel generator overhauls on two Ohio-class and one Los Angeles-class submarine under a prior award and has completed roughly 10 Pit Stops with the Navy over five years. The Navy's $27 million investment in the Bird-Johnson expansion is largely funded through Australia's AUKUS Pillar I contribution.
The players
Fairbanks Morse Defense
A defense contractor that overhauls naval propulsion and emergency power systems and has long supported Navy submarine and surface ship maintenance.
Naval Sea Systems Command
The Navy command responsible for ship design, acquisition, and maintenance, which awarded the October contract to Fairbanks Morse Defense.
Government Accountability Office
The independent federal watchdog agency that issued an August report on Navy submarine maintenance schedule performance.
The details
Fairbanks Morse Defense is poised to repair three Seawolf-class submarines, with work expected to begin after the Los Angeles- and Ohio-class overhauls wrap up in the late 2020s. The company's Bird-Johnson Propeller subsidiary in Pascagoula is being expanded with the goal of doubling naval propulsion system capacity.
Timeline
August: GAO report found public shipyards completed 11 percent of submarine maintenance periods on schedule.
October: Naval Sea Systems Command awarded the approximately $100 million emergency diesel generator contract.
Late 2020s: Los Angeles- and Ohio-class overhauls expected to wrap up.
2027: Fairbanks Morse targets 10 additional Pit Stops.
2028: Navy's target year for Columbia-class submarine delivery.
Manufacturing Context
The Bird-Johnson investment is largely funded through Australia's US Submarine Industrial Base contribution under the AUKUS Pillar I agreement, extending that pact into American naval propulsion manufacturing. The expansion aims to double the subsidiary's capacity as the US seeks to offset projected submarine shortfalls tied to Columbia-class and Virginia-class construction delays.
The Navy's submarine maintenance backlog affects the pace at which the fleet can return to operational readiness. Contract timelines stretching into the late 2020s mean vessel availability will remain constrained for years.
The takeaway
Submarine readiness depends on maintenance throughput as much as new construction, and the schedule gap identified by the GAO is a concrete measure of that risk. Watch for the Navy's Seawolf-class decisions and the Columbia-class delivery timeline.
What happens next
Fairbanks Morse is targeting another 10 Pit Stops in 2027, and Los Angeles- and Ohio-class overhauls are expected to wrap up in the late 2020s before Seawolf-class work begins.
Further reading
For broader context on defense production capacity, explore Manufacturing coverage.
Source note: This article includes information reported by Breaking Defense.
