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Industry · Naval propulsion

Fairbanks Morse starts $60 million naval propulsion expansion

Australian AUKUS funding is part of the project, which the company says will effectively double naval propulsion manufacturing capacity at its Pascagoula facility.

Fairbanks Morse Defense broke ground Oct. 20 on a $60 million expansion at its Bird-Johnson Propeller Company facility in Pascagoula, Mississippi. The company says the new Center of Excellence will effectively double the facility’s capacity to produce naval propulsion systems.1

Fairbanks Morse plans more space and machines for naval propulsion

Planned additions at Bird-Johnson’s Pascagoula facility, announced Oct. 20, 2026

38,000 square feetNew manufacturing space planned
TwoNew five-axis computer numerical control machines planned
By Q1 2028New capacity scheduled to come online

Source: Fairbanks Morse Defense, Oct. 20, 2026. As of Oct. 22, 2026.

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The project includes a $27 million U.S. Navy investment. Of that amount, $22 million comes from Australia’s initial contribution to the U.S. Submarine Industrial Base under AUKUS Pillar I.1

The center will complement existing foundry capacity with 38,000 square feet of manufacturing space. It will house two new five-axis computer numerical control machines. Equipped for parts weighing up to 100 metric tons, the new machines will bring the facility’s total to four. The design also reserves a machine-ready expansion slot and a bay for a future 3D sand printer.1

Fairbanks Morse expects the upgrade to increase the foundry’s workforce by 25%, to 100 craftspeople.1

Dan Rediger, Fairbanks Morse Defense’s president of power and propulsion, said delivery timelines for specialized propulsion systems for the Virginia-class submarine program and next-generation surface combatants are accelerating. The new capacity is scheduled to come online by the first quarter of 2028. Fairbanks Morse disclosed no output or delivery figures for the added capacity in the announcement.1

Sources (1)
  1. Fairbanks Morse Defense release, Oct. 20, 2026 www.fairbanksmorse.com
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Contracts · Submarines

Navy asks which shipyards could be prime builders for its SSN(X) attack submarine

The market survey also aims to identify future capital expenditure requirements for the planned Virginia-class successor. It commits the Navy to no solicitation or contract.

The Navy is looking for domestic shipyards interested in and capable of serving as "a prime construction yard(s)" for SSN(X), its planned successor to the Virginia-class attack submarine.2–3 The SSN(X) program office, PMS 351, issued the sources-sought notice with the Navy's directors of submarine programs and of design and construction, and Naval Sea Systems Command's Team Submarine office posted it Friday.1, 3 It is market research meant to "baseline current domestic industrial capabilities, identify future capital expenditure requirements, and inform acquisition strategies."3

The SSN(X) program office PMS 351 issued a sources sought notice to identify domestic shipyards interested and capable of serving as prime construction yard(s)

SSN(X) is the Navy's envisaged successor to the Virginia-class design

U.S. Navy submarines are built byElectric Boat and Newport News Shipbuildingactual

the only two U.S. shipyards capable of building nuclear-powered ships

All responsible sourcesmay submit a capability statementrequested

will be reviewed by the agency if received by the closing date of this notice

Responses are dueOct. 15, 2026requested

no later than 1700 Eastern Daylight Time

market research to baseline domestic industrial capabilities, identify future capital expenditure requirements and inform SSN(X) acquisition strategies

The notice is not a commitment to solicit offers or award contracts

Sources: NAVSEA Team Submarine, SSN(X) sources sought notice N00135-27-SSNX, SAM.gov, Oct. 9, 2026; Congressional Research Service, IF11826. As of Oct. 11, 2026.

Sources
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Today only two U.S. shipyards can build nuclear-powered ships: General Dynamics Electric Boat and HII's Newport News Shipbuilding. They build each Virginia-class boat jointly. Earlier submarines were each built entirely in one yard, and the Congressional Research Service lists which approach SSN(X) should follow among the program's issues for Congress.2 The notice's "yard(s)" leaves the number of prime yards open.3

The bar is infrastructure for "large-scale nuclear submarine construction." Prime yards must be capable of complete hull fabrication, modular outfitting, reactor compartment installation and post-delivery testing, with graving docks or floating drydocks and gantry cranes that can lift submarine modules. Any responsible source may respond, but incomplete questionnaires will not be reviewed. The program office wants detail on each candidate's capacity, drydock availability, tooling and design workforce to determine its readiness for "a long-duration capital combatant construction program."3

The Navy is asking about future capital spending for a boat whose envisaged first procurement was deferred to FY2040 in the Navy's FY2025 budget submission.2–3 Responses are due Thursday, Oct. 15, at 5 p.m. Eastern, through a DoD SAFE secure link vendors must request before the notice closes. The Navy may follow up with vendors it judges capable.3

Sources (3)
  1. SAM.gov federal hierarchy record, organization 500204001 (Team Submarine) sam.gov
  2. [Congressional Research Service: Navy Next-Generation Attack Submarine (SSN[X]) Program: Background and Issues for Congress]( www.congress.gov
  3. sam.gov sam.gov
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Industry · Defense suppliers

Curtiss-Wright's quarterly orders grow faster than sales

Orders rose 15% in the third quarter, while Defense Electronics sales grew 2% and its operating margin fell.

Curtiss-Wright booked $1.1 billion in new orders in the quarter ended Sept. 30, 2026, up 15% from a year earlier, while sales rose 10% to $953 million. Reported and organic sales growth were both 10%, with acquisitions contributing 0% to the quarter's sales growth.1

Curtiss-Wright total company new orders for Q3 2026 were $1.1 billion

for the quarter ended September 30, 2026

New ordersup 15%

Curtiss-Wright total company new orders for Q3 2026 were $1.1 billion, up 15% from the prior year

Total salesup 10%

Curtiss-Wright Q3 2026 total sales were $953 million, up 10% from the prior year

Q3 2026 new orders reflected a 1.1x book-to-bill

Source: Curtiss-Wright Q3 2026 earnings release, Exhibit 99.1, SEC. As of November 5, 2026.

Sources
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The company reported a 1.1x book-to-bill ratio, with backlog reaching $4.6 billion, up 12% from year-end 2025.1

Chair and CEO Lynn M. Bamford attributed the order growth primarily to continued strong demand in defense electronics and growth across all of Curtiss-Wright's aerospace and defense markets. The release gives no orders by segment, so it does not show which segments drove the increase.1

The Defense Electronics segment's sales grew more slowly than those of the company's other two segments. Sales rose 2% to $259 million. The segment's operating margin fell to 27.0% from 29.2% a year earlier. Curtiss-Wright attributed the margin decline to unfavorable product mix and higher research and development investment, which more than offset favorable absorption on higher revenues.1

Aerospace & Industrial sales rose 14%, and Naval & Power sales increased 12%. The company attributed naval defense revenue growth in part to the timing of production on the Columbia-class and Virginia-class submarine programs.1

Sources (1)
  1. Curtiss-Wright third quarter 2026 results, Exhibit 99.1 www.sec.gov
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