Austal USA to construct new submarine manufacturing facility in Mobile, Ala., boosting U.S. Navy support. Mobile Airport receives $4 million grant for new access road, enhancing regional connectivity and passenger convenience. Expansion projects contribute to Alabama's economy and aviation sector growth.
Photo courtesy of Austal USA
Austal USA has officially broken ground on a new submarine module manufacturing facility in Mobile, Ala.
Austal USA, an Alabama-based builder of commercial and defense aluminum seagoing vessels for the U.S. market, held a groundbreaking ceremony Oct. 23 to celebrate the start of construction of a new submarine modules manufacturing (MMF3) facility at its Mobile complex.
The new building, scheduled to be fully operational in late 2026, will significantly increase Austal USA's capacity to support the U.S. Navy Submarine Industrial Base (SIB), the company said in a news release.
Austal USA's shipbuilding facility occupies 164 acres on the eastern shore of the Mobile River and is strategically positioned at the mouth of the Gulf of Mexico.
The new building will provide 369,600 sq. ft. of indoor manufacturing space purpose-built to manufacture submarine modules. Production from this building will support the U.S. Navy's goal of delivering one Columbia-class and two Virginia-class submarines each year. It also will include a material storage area, machine shop, assembly area and waterfront improvements to support the shipment of the completed modules via barges.
Combined with the recent groundbreaking for another nearby manufacturing building, this latest project represents over $750 million in expansion of Austal USA's Mobile facility to further solidify the company's role as a major contributor to Alabama's economy.
In July, Austal USA began construction on a new assembly building to enable the erection of large steel modules for Navy and Coast Guard ships, including the Offshore Patrol Cutter (OPC) and TAGOS-25 programs. It will encompass 4.5 acres providing more than 192,000 sq. ft. of new indoor manufacturing space.
Included as part of the project is a shiplift system that features an articulated lifting platform approximately 450 ft. long by 125 ft. wide. The new shiplift will provide a safe and reliable system to launch ships as they are completed in the assembly buildings and also will enable crews to bring ships back on the land-side facility for repair and maintenance, the company said.
Upon completion of these buildings, Austal USA' s Mobile, Ala. ship manufacturing facility will include a 117,000 sq.-ft. steel panel line, two module manufacturing facilities totaling over 1 million sq. ft. of covered manufacturing space optimized for serial production, and seven assembly bays providing over 400,000 sq. ft. of indoor erection space.
In all, the Mobile facility covers 180 acres and, when this project is complete, over 1.5 million sq. ft. of indoor manufacturing room.
The two buildings, when fully operational, will also add over 2,000 new jobs. Last year, Austal USA's contracts were supported by 259 Alabama-based suppliers accounting for over $115 million of business, including 185 small businesses, which accounted for over 50 percent of the total spending.
"Austal USA is committed to supporting national security initiatives like the Navy's Virginia and Columbia-class submarine programs, evidenced by our aggressive infrastructure and workforce expansion efforts," noted Michelle Kruger, president of Austal USA.
"The key to our success is the strong partnerships we have built with not only our customers but also our employees and the amazing community surrounding us. We are grateful for the unending support we continue to receive from the city and county of Mobile and the great state of Alabama."
Mobile Airport Awarded $4 Million for Access Road
Not too far away, Mobile International Airport (BFM) has received a $4 million grant from the Federal Aviation Administration (FAA) to build a new access road, providing travelers with easier terminal access and improving public transportation connections. The funding, which comes from the Bipartisan Infrastructure Law, strengthens the convenience and accessibility of the airport.
The announcement was made in an Oct. 25 news release by the Mobile Airport Authority (MAA).
Elliot Maisel, the MAA's board chair, noted that he and his colleagues were appreciative of the efforts of Alabama's Congressional delegation in Washington for helping to secure the grant.
"We also appreciate the recognition by the FAA and their commitment to supporting our airport's growth," he said. "This funding helps enable the Mobile Airport Authority to complete construction of our new terminal. Upon completion, we will provide the citizens of Mobile and Baldwin counties with low-cost airfare to many direct destinations across the country."
"This grant reflects the dedication of our team at the Mobile Airport Authority," added Andy Wilson, the MAA's executive director. "We're excited to keep building on our progress and elevating the travel experience for both residents and visitors flying from Mobile."
The access road project contributes to a $970 million national initiative to modernize airport infrastructure and enhance passenger convenience. This fourth round of federal funding underlines the efforts to expand sustainable, accessible and safe airport facilities across the country.
The MAA owns and operates not only Mobile International Airport, but Mobile Regional Airport (MOB), Brookley Aeroplex, and St. Elmo Airport — all of which contribute $2 billion in economic impact for Alabama.
Located near the Port of Mobile, BFM is key to regional multimodal connectivity that links maritime, rail, trucking and aviation operations. Currently under construction at the airport are a new terminal and parking garage that are expected to open in the first quarter of 2026.
Breeze Airways provides nonstop service to Orlando from BFM, which also houses the Airbus Final Assembly Line, Airbus Engineering, ST Aerospace and Continental Motors, all of which highlights the Mobile airport's critical role in Alabama's aviation sector.
The Brookley Aeroplex supports BFM with over 90 businesses, including major transportation and logistics providers, while St. Elmo Airport, located 18 mi. from Brookley, primarily serves corporate and private aircraft.
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