Davie Defense Closes Gulf Copper Acquisition, Joining U.S. Arctic Shipbuilding Ranks

Davie Defense has completed its acquisition of Gulf Copper & Manufacturing Corporation’s shipbuilding assets in Galveston and Port Arthur, Texas, marking a significant expansion of the Canadian-backed company’s footprint in the American maritime sector.

The transaction, announced December 3, received all required U.S. government approvals, including clearance from the Committee on Foreign Investment in the United States.

The acquisition establishes Davie Defense as America’s newest specialized shipbuilder, backed by its sister facilities Davie Shipbuilding in Canada and Helsinki Shipyard in Finland, both part of the British-owned Inocea Group. The move comes as the Trump administration prioritizes Arctic capabilities and seeks to revitalize domestic shipbuilding capacity.

Kai Skvarla, CEO of Davie Defense, will assume the role of CEO at Gulf Copper, with current CEO Steve Hale staying on in an advisory capacity to ensure continuity. Gulf Copper’s existing workforce of over 350 employees will remain in place as the facility continues its repair and fabrication operations, including work on Flight III Arleigh Burke-class destroyer units.

The acquisition supports President Trump’s April executive order, “Restoring America’s Maritime Dominance,” which seeks to revive U.S. shipbuilding, bolster the workforce, and expand the nation’s presence in global shipping to compete more effectively with China. The U.S. currently operates just three polar icebreakers, with the flagship Polar Security Cutter at Bollinger Shipyards still undelivered. In contrast, Russia has a fleet of over 40 polar icebreakers, while China is rapidly expanding its own fleet.

The transaction positions Davie Defense as a principal industrial partner in the Icebreaker Collaboration Effort (ICE Pact), a trilateral initiative between the United States, Canada, and Finland announced in July 2024. In October, the presidents of the U.S. and Finland signed a memorandum of understanding on icebreaker construction at the White House, followed by a joint statement of intent in November advancing shipbuilding and Arctic defense collaboration among the three nations.

Davie Defense is currently in negotiations to deliver five Arctic Security Cutters to the U.S. Coast Guard. The vessels are based on a fourth-generation polar icebreaker design from Helsinki Shipyard, which has delivered approximately 50% of the world’s icebreaker fleet and all polar icebreakers built in Finland over the past 25 years. The company claims it can deliver the first vessel within 26 months of contract signing.

“This acquisition confirms Davie Defense as a permanent part of the United States shipbuilding industry,” Skvarla said. “We are proud to be an American shipbuilder, and the new Texas facilities which have over 350 existing employees will be key to expanding our U.S. operations. Our focus is simple: deliver the capability, capacity, and ships that America urgently needs.”

James Davies, co-founder of Inocea Group, characterized the closing as “a defining moment” for the company. “We are now truly transatlantic, operating across the United States, Canada and Finland, and we are proud to welcome the Gulf Copper team as part of our U.S. presence,” he said.

President Trump announced a landmark deal in October to acquire four Finnish icebreakers and construct seven additional vessels in the United States, including three to be built by Davie Defense in Galveston.

The deal includes a planned $1 billion overhaul of the Gulf Copper facility to create what Davie calls the “American Icebreaker Factory,” a purpose-built facility for constructing Arctic Security Cutters. The project, developed in collaboration with Florida-based Pearlson, aims to support over 2,000 direct jobs at Gulf Copper and more than 7,000 statewide, with total projected economic impact exceeding $9 billion.

Davie Defense faces competition from a consortium led by Louisiana-based Bollinger Shipyards, which has partnered with Finland’s Rauma Shipyards, Canada’s Seaspan Shipyards, and Aker Arctic Technology.

Steve Hale, outgoing CEO of Gulf Copper, welcomed the transition. “Gulf Copper has been part of the fabric of shipbuilding on the Gulf Coast for more than 75 years,” he said. “Joining Davie Defense opens an important new chapter — bringing long-term stability, new opportunities for our people, and continued support for the maritime communities we proudly serve.”

The Coast Guard’s broader strategic vision includes building a fleet of eight to nine polar icebreakers, supporting the President Trump’s stated initiative to acquire at least 40 new icebreakers. 

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