SAN DIEGO — In a keynote at the WEST Conference, Navy Secretary John Phelan outlined a potential sea change in the 2027 defense budget that could reshape how the Navy builds and fields ships, signaling a bold reorientation toward speed, scale, and readiness.
He framed the plan as a bold push under President Trump's leadership. The 2026 budget funded 17 ships for 27.2 billion dollars, and the 2027 proposal could push that to at least 34 vessels, including a large contingent of auxiliary and support ships.
“It is an area that we are in grave need of upgrading, and I think the president has correctly addressed that in the budget,” Phelan said.
“Between FY20 and FY24, the prior administration consistently underfunded Navy shipbuilding, requesting a cumulative $127 billion while Congress recognized the shortfall and enacted nearly $142 billion — a $15 billion gap that would have represented ships not built and capabilities not delivered,” Phelan said.
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The Golden Fleet, which Trump announced in December 2025, will include two so-called Trump-class battleships. The president has claimed the vessels will be the biggest and fastest battleships in the world, 100 times more powerful than any ship ever built.
“The Golden Fleet is about moving faster, building smarter and delivering capabilities now, Phelan said, adding that the initiative also aims to harness unmanned and artificial intelligence systems.”
Looking back at the current year, the Navy's plan illustrates a broader approach to modernization that blends heavy submarines and surface ships with new technologies.
The 2026 budget allocated money for vessels that include two Virginia-class fast-attack submarines, one Columbia-class ballistic missile submarine, three medium landing ships and one T-AGOS ocean surveillance ship, according to the House Appropriations Committee.
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Supporters argue the plan aligns with a strategy to restore American maritime dominance and rebuild the domestic shipbuilding base.
They point to Secretary of War Pete Hegseth, who has championed this aggressive modernization as essential to deterring rivals and delivering capabilities now.
At the same time, the push emphasizes easier to build ships whenever possible, a logistical path to speed that does not compromise courage or effectiveness. The strategy relies on a growing fleet of unmanned systems and artificial intelligence that can extend reach and reduce risk for sailors.
This plan seeks to revive the maritime industrial base by focusing on ships that are easier to construct, so the yards can scale up quickly and deliver capability when it is most needed.
In this view, victory at sea begins with industrial resilience and the ability to outpace competitors who are hungry to challenge American leverage.
Under this frame, President Trump is presenting a stark choice to the country: invest now to deter aggression and restore naval primacy.
The President's team argues that a robust, faster shipbuilding program is not just defense policy but a statement of national will.
As the debate over the size and scope of the defense budget continues, Phelan and his supporters insist the country cannot afford to delay. They argue that with the Golden Fleet concept and a reenergized industrial base, the United States will be better prepared to protect its interests at sea.
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