U.S. Department of Transportation's Maritime Administration announced almost $20 million for small shipyard modernization and workforce training.
The funding for fiscal year 2023 through MARAD's Small Shipyard Grant Program can also be used to purchase U.S.-made manufacturing equipment, according to a Jan. 19 news release.
"Small shipyards play vital roles in their local economies and our national economy," Buttigieg said in the news release. "With these funds, we are helping small shipyards across the country train their workers, modernize their equipment and improve their operations.”
Grants, capped at 75% of a project's estimated cost, are available to small shipyards that employ fewer that 1,200 employees, according to MARAD. Funds may be used for improvements to qualified shipyards in projects aimed at encouraging efficiency, competitive operations and quality ship construction, repair and reconfiguration, as well as fostering employee skills and enhanced productivity related to shipbuilding, ship repair and associated industries
MARAD's Small Shipyard Grant Program has awarded 323 grants, about $282 million, since the program was first funded in 2008, the release reported. Last year, $19.6 million in grant awards went to 24 small shipyards in 19 states.
Historically, the grants been given to 15 to 30 applicants with an average grant of $1 million, MARAD reported.
"Small shipyards are essential to the U.S. maritime industry and critical to ensuring that we have a resilient industrial base," Maritime Administrator Ann Phillips said in the release. "These shipyards are an economic pillar, strengthening our maritime industry and the communities along and near our nation's ports and waterways, and employing thousands of Americans, who ensure the nation maintains expertise and skills critical to our economic and national security."
