President Donald Trump has signed a Presidential Memorandum authorizing the construction of up to four Arctic Security Cutters (ASCs) in Finland, addressing urgent national security needs in the increasingly contested Arctic region. The agreement was formalized during a meeting between Trump and Finnish President Alexander Stubb at the White House on Thursday.
The memorandum invokes presidential authority under US law to permit foreign construction as a national security necessity, while simultaneously directing the Coast Guard to develop a plan that will eventually bring ASC construction capabilities to American shipyards.
Under the Memorandum of Understanding, Finland will construct four ASCs in its shipyards, followed by the transfer of expertise to build up to seven additional vessels in the United States.
“These are the kind of positive news Finland needs,” said Finnish Prime Minister Petteri Orpo. “The Finnish Government and ministries have been working for months to achieve concrete results. Closer cooperation with the United States is very important to Finland’s maritime industry, economy, and employment.”
The deal represents a pragmatic response to America’s aging icebreaker fleet. Currently, the Coast Guard operates just three ocean-going icebreakers – The heavy icebreaker Polar Star, commissioned in 1976, medium icebreaker Healy, and the Storis, previously a commercial vessel commissioned just last month.
Coast Guard assessments indicate that at least nine ASCs are needed to serve US national security interests year-round in the Arctic, making this partnership crucial to addressing the capability gap.
“This partnership is based on Finland’s and the United States’ shared goal of strengthening the development and security of the Arctic. At the same time, we are securing the Alliance’s ability to operate and its critical capabilities as the strategic importance of the Arctic and polar regions grows,” commented Finland’s Minister for Foreign Affairs Elina Valtonen.
The agreement builds on the ICE Pact, a trilateral agreement between the United States, Canada, and Finland announced in July 2024 to enhance polar icebreaker production and strengthen security in contested polar regions.
For Finland, known globally for its expertise in icebreaker design and construction, the deal represents a significant economic opportunity. Minister of Economic Affairs Sakari Puisto noted: “This is great news. Our shipyards build the world’s best icebreakers and largest cruise ships. We also have an extensive subcontractor and partner network that together make a unique package.”
The agreement coincides with substantial funding for the Coast Guard under President Trump’s “One Big Beautiful Bill,” which includes nearly $9 billion allocated specifically for building a series of heavy, medium, and light ASCs.
According to Coast Guard documents, the investment package contains $4.3 billion for Polar Security Cutters, fully funding all three planned vessels at Bollinger Shipyards, and $3.5 billion for three Arctic Security Cutters, among other maritime assets.
The Coast Guard has been actively working to expand its Arctic capabilities, having published a Request for Information (RFI) in April 2025 seeking input for the construction of a medium-size icebreaker in just three years – an ambitious timeline that aligns with the urgency expressed in the new agreement.
The Arctic Security Cutter specifications in the RFI describe a vessel up to 360 feet long, 78 feet wide, with a draft of no more than 23 feet. Its proposed capabilities include a range of 6,500 nautical miles and the ability to break through 3 feet of ice at 3 knots.
This push for expanded icebreaking capacity comes amid increasing activity from Russia and China in the Arctic. Earlier this year, the Federal Maritime Commission initiated an investigation of global maritime chokepoints, including the Arctic’s Northern Sea Route, describing these waters as potentially reshaping global trade patterns.
“We need icebreakers in the U.S. And if we can get some inexpensively, I’d like to do that,” said President Trump.
The agreement represents a significant milestone in US-Finland relations, with Finnish officials noting that this is “the first time the United States is building icebreakers in another country.”
As the strategic importance of the Arctic continues to grow, this partnership signals a new chapter in international cooperation on polar maritime capabilities, with potential long-term benefits for both American and Finnish shipbuilding industries.