US Navy Shrinks from 597 Ships to 293 as Shipbuilding Industry Struggles

The US Navy has lost more than half its ships since the Reagan era, dropping from a peak of 597 warships in 1987 to just 293 battle force ships as of October 2025.

Years of budget shortfalls caused the steep decline in America's naval power. The military struggled to fund new ships while maintaining existing ones.

The shipbuilding industry itself has weakened over decades. Shipyards lost skilled workers who moved to other jobs. The infrastructure needed to build warships has deteriorated and needs major upgrades.

Congress is trying to reverse the trend. The 2026 budget plan calls for 19 new ships, and the 2027 budget adds 18 more. But experts say the industry needs more than just orders.

Defense officials want to build new types of unmanned ships that can be completed faster than traditional warships. They also need to create jobs to bring skilled workers back to shipyards.

The challenge comes as China rapidly expands its own navy, raising concerns about America's ability to maintain naval superiority in key regions like the Pacific.