Sunday, July 3, 2011

The West Coast's Last Major Shipyard

LA Times:
At the West Coast's last major shipyard, the action never seems to stop.

In one part of the Nassco yard, on the shores of San Diego Bay, the U.S. naval ship Medgar Evers is nearing completion. The 690-foot vessel is the 13th in a line of T-AKE ammunition and dry cargo ships built by Nassco for the Navy and is scheduled to roll into the ocean Oct. 29 wearing bunting and steamers to the blare of "Anchors Aweigh."
Next to it, No. 14 — this one called the Cesar Chavez — sits at a much earlier stage of construction. Nearby, the keel has been laid on a new Navy project called the Mobile Landing Platform, which can act as a wharf at sea or a floating dry dock.

Nassco, once known as National Steel & Shipbuilding Co., hasn't survived by doing every new job as well as the last. The General Dynamics Corp. subsidiary has outlasted the competition by making sure that every new vessel has been built better, faster, more cheaply and with fewer injuries than the one that came before, said Nassco President Frederick J. Harris, a former merchant marine with an MBA and a no-nonsense style.

Failure on one or more of those points might have put Nassco on the same path as the many dozens of closed U.S. shipyards. Instead, Nassco's performance helped it land a $744-million contract announced in May for a new kind of Navy support vessel, he said.

"In five years, we have reduced the amount of labor required to build these ships by more than 60%. We'll complete construction on the last one in less than half the time it took to build the first," Harris said. Among manufacturers, he added, "we have the best learning curve in the U.S."

Higher productivity, fewer jobs, but the story is interesting:
The American shipbuilding industry declined after the end of the Cold War, when it was surpassed by Japan. In a race to the lowest labor costs, Japan was overtaken by South Korea in 2005. China took the lead in 2009. The U.S. industry had some protection from the Jones Act and related laws that require U.S.-built, -flagged and -manned vessels for travel between U.S. ports, but the toll has been steep.

Across the U.S., 85,000 to 105,000 workers are still employed at more than 300 U.S. shipyards of all sizes, the numbers depending on the ebb and flow of government and commercial construction and repair contracts, according to the Shipbuilders Council of America.

Of 12 major U.S. shipyards operating in the 1980s, six remain. General Dynamics Marine Systems owns Nassco, Bath Ironworks in Maine and Electric Boat in Connecticut. Huntington Ingalls Industries Inc. owns the three other yards: Newport News in Virginia, Ingalls in Mississippi and Avondale in Louisiana. Avondale is scheduled to close in 2013.

All of these do massive amounts of defense work.  Without Navy construction and repair, they would be really hurting.  Thats why the congressmen in these districts always intervene to avoid cutting any ship projects.

No comments:

Post a Comment