Congress seeks to limit US Navy vessels built in foreign shipyards

Congressional defense committees are restricting the Trump administration's ability to build U.S. Navy vessels in foreign shipyards by limiting presidential waiver authority under Title 10 section 8679. The proposed Fiscal Year 2027 defense policy bill allows the defense secretary to construct up to two non-combatant ships per class in allied foreign shipyards, with strict national security and reporting requirements. The bill's provisions align with the 2024 ICE Pact, a trilateral agreement involving the U.S., Canada, and Finland for Arctic icebreaker production.