Davie Breaks Ground on $1 Billion Texas Shipyard Expansion for Coast Guard Icebreakers

Davie Defense officially broke ground Monday on a massive modernization of Gulf Copper’s shipyard facilities in Galveston and Port Arthur, Texas, marking the start of what could become a $1 billion investment aimed at rebuilding U.S. shipbuilding capacity and supporting construction of the U.S. Coast Guard’s next generation of Arctic icebreakers.

The project represents a major milestone for the Coast Guard’s Arctic Security Cutter program and signals the return of complex shipbuilding to Texas for the first time in decades.

The first phase of the shipyard upgrade is scheduled for completion in 2028, aligning with the start of construction on the first of three Arctic Security Cutters planned for the Texas facilities. Under Davie Defense’s $3.5 billion contract with the Coast Guard, the first two vessels will be built at the company’s affiliated Helsinki Shipyard in Finland before production transitions to Texas.

The groundbreaking ceremony drew a high-profile group of federal and state officials, including Office of Management and Budget Director Russell Vought, Texas Governor Greg Abbott, Senator Ted Cruz, Congressman Randy Weber, Department of Homeland Security Deputy Secretary Troy Edgar, and Coast Guard Commandant Admiral Kevin Lunday.

The shipyard expansion is expected to create approximately 2,400 direct jobs, while an independent economic study projects up to 7,000 jobs statewide through supply-chain activity and related economic impacts.

“America cannot restore maritime strength without rebuilding its industrial capability,” said Philip Burns-O’Brien, President and CEO of Davie Defense and Gulf Copper. “Gulf Copper is more than a facility investment, it is part of the broader vision to revive U.S. shipbuilding capacity as strategic competition increases.”

The Texas investment forms a key component of the Coast Guard’s broader effort to rapidly expand America’s icebreaking fleet amid growing competition with Russia and China in the Arctic. The Coast Guard currently operates a limited fleet consisting primarily of the aging heavy icebreaker Polar Star, medium icebreaker Healy, and recently commissioned Storis.

Davie secured a $3.5 billion contract earlier this year to build five Arctic Security Cutters as part of the Coast Guard’s planned 11-vessel Arctic Security Cutter program. The first vessel is expected to be delivered in 2028.

The company’s Texas facilities are intended to become the centerpiece of what executives have previously described as an “American Icebreaker Factory,” leveraging expertise from Finland’s Helsinki Shipyard, one of the world’s most experienced builders of polar icebreakers.

“Texas is ground zero for the revitalization of the American shipbuilding industry,” said Governor Greg Abbott.

The project also aligns with broader Trump administration efforts to revive domestic shipbuilding under the executive order on restoring American maritime dominance and the ICE Pact framework signed by the United States, Canada, and Finland to expand Western icebreaker production.

Deputy Homeland Security Secretary Troy Edgar called the project an “American Icebreaker Factory” and said it would help reestablish U.S. maritime capabilities in the Arctic, where both Russia and China have expanded their presence in recent years.

In addition to supporting future icebreaker construction, Davie highlighted Gulf Copper’s ongoing work restoring the historic battleship Texas, which made a ceremonial appearance during Monday’s groundbreaking event.

The investment further solidifies Texas’ growing role in U.S. shipbuilding at a time when Washington is seeking to rebuild industrial capacity and close what policymakers increasingly describe as a widening shipbuilding gap with China.

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