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Trump's bill allocates $8.6 Billion for US Coast Guard Icebreakers

Posted to Maritime Reporter on July 3, 2025

The massive tax and spending plan of President Donald Trump includes more than $8,6 billion for the U.S. Coast Guard's icebreaker fleet to be deployed in the Arctic where Washington hopes it can counter the rising dominance of Russia and China.

The funding includes up to $4.3 billion in order to purchase three heavy Coast Guard Polar Security Cutters. $3.5 billion will be used for the medium Arctic Security Cutters. $816 million is allocated for additional medium and light icebreaking cutters.

The cutters are designed with specially angled bows for icebreaking in open water.

The Coast Guard was looking for eight to nine Arctic-ready Icebreakers. The Coast Guard's fleet currently only consists of three icebreakers.

Trump has been pushing for the revival of U.S. Shipbuilding in order to counter China’s growing strength and naval dominance. He announced separate plans earlier this year to levy tariffs and fees on Chinese ports and equipment, including ship-to shore cranes.

Arctic seas, as climate change shrinks the polar ice pack, are becoming more important trade routes between major economies in the Pacific and Atlantic Oceans.

China and Russia are working together to fortify and develop Arctic shipping routes. Last year, the United States announced a trilateral agreement called the "ICE Pact". The partnership aims to build a fleet between 70 and 90 icebreaking ships in the next decade. This will allow the three countries to "project their power" and enforce international treaties and norms into the polar regions.

Trump has repeatedly called on the United States of America to purchase up to 40 new icebreakers in order to improve national security. These icebreakers would help with logistics, and maintain open supply lines to potential oil and mineral exploration in this rugged and frigid area.

According to the International Institute for Strategic Studies, Russia has 57 icebreakers or ice-capable ships.

China's fleet is smaller, but it also invests in its growth. In May, the two countries pledged to take their cooperation to a higher level and to "decisively counter" U.S. influences.

Who builds them?

Davie Shipbuilding of Quebec, which announced in June plans to purchase Gulf Copper & Manufacturing’s shipbuilding assets located in Galveston, Texas, and Port Arthur, Texas, is one potential shipbuilder for the new U.S. icebreakers.

Davie's spokesperson stated that "we welcome the commitment to strengthening America's Icebreaker Fleet". This is an important step to address the growing threats and opportunities in Arctic.

Keppel Amfels, based in Singapore, is also present in Texas.

In May, Louisiana-based shipbuilders Bollinger Shipyards (USA) and Edison Chouest Offshore (USA), announced a partnership to build icebreakers in order to meet "urgent Arctic operations needs".

Bollinger was recently given the go-ahead by the Coast Guard to start construction on the first ship of the Polar Security Cutter Program in its Pascagoula facility, Mississippi. The Congressional Budget Office reported in August that the project had "been plagued by delays and overruns" due to a problem with a shipbuilder Bollinger bought.

CBO's estimate at the time was that the Coast Guard would have to spend $5.1 billion by 2024 on all three of the new Polar Security Cutters. This is roughly 60% higher than what the Coast Guard estimated.

U.S. Coast Guard could also buy the ships from foreign yards, such as those in Canada and Finland. However, this would require the president to grant a waiver. Naval Institute News said.

The Coast Guard has recently taken possession of its first Polar Icebreaker in 25 Years. According to LSEG, Edison Chouest Offshore North American Shipbuilding built the Coast Guard Cutter Storis in 2012. It set sail in June, and its home port is Juneau, Alaska.

According to the website, the polar fleet includes the 420-foot medium-sized icebreaker Healy and the 399-foot heavy-sized icebreaker Polar Star. Reporting by Lisa Baertlein, Washington; additional reporting by Timothy Gardner, Valerie Volcovici and Bill Berkrot.

(source: Reuters)

Tags: Asia Europe North America East Asia South-East Asia