Fairbanks Morse Defence (FMD) has broken ground on a $60m expansion at its Bird-Johnson Propeller Company facility in Pascagoula, Mississippi, to expand production of naval propulsion components
According to FMD, the new installation will nearly double production capacity for large-scale naval propulsion and will add 38,000ft2 of manufacturing space.
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The project includes two new five-axis CNC machines capable of handling parts up to 100 metric tons, with provisions for further expansion and modernisation.
In addition, the modernisation will include a dedicated area for a future 3D sand printer and expands the number of advanced machining centres from two to four, enabling a more integrated approach from design through to final delivery.
FMD said the facility will support efforts to address industrial constraints hampering submarine production and to bolster fleet readiness.
Funding for the expansion includes a $27m investment from the US Navy, $22m of which originates from Australia’s initial contribution to the US Submarine Industrial Base under the Pillar I initiative of the AUKUS trilateral partnership.
As part of AUKUS, Australia is partnering with the US and UK to strengthen the industrial base tied to advanced submarine capabilities.
The AUKUS I&A programme coordinated with the US Navy’s Submarine Industrial Base Program Office to allocate Australian funding to what it described as “high-impact areas,” aligning with a joint 2025 investment study.
FMD’s power and propulsion president Dan Rediger said the increased production comes at a “critical moment” and will enable the company to meet accelerating timelines for programmes such as the Virginia-class submarine and next-generation surface combatants.
The upgrade is expected to increase the local workforce by 25%, supporting 100 skilled positions and creating new apprenticeship and training pathways.
Dan Rediger said: “This groundbreaking comes at a critical moment for the industry. The timelines to deliver specialised propulsion systems for the Virginia-class submarine program and next-generation surface combatants are accelerating. We are proud to answer the call by expanding our ability to support vital US and allied national security programs.”
The Pascagoula facility, named as a US “National Asset,” is the only privately-operated foundry certified in the US for manufacturing large-scale Navy propellers.
FMD acquired Bird-Johnson in July 2025 and has reinstated the historic company name for the Pascagoula foundry, reflecting its longstanding role in American naval manufacturing.
Construction is scheduled to enable new capacity by the first quarter of 2028, coinciding with celebrations of the US’ 250th anniversary.
