The Congressional Budget Office (CBO), in its latest Navy shipbuilding report released on Thursday, cites "current industry conditions" as the rationale for the updated $120 billion program estimate.
According to the budget office's assessment, the USS District of Columbia, the lead submarine in the class, is expected to carry a price tag of $17.5 billion — $1.7 billion above the Navy's calculations. The Navy's upcoming fleet of the remaining 11 submarines is estimated at an average of $9.2 billion each, according to CBO figures. This represents a significant $1.5 billion surge in cost per vessel compared to initial projections.
Recent findings from the CBO's yearly analysis of the Navy's shipbuilding proposals cast doubt on funding matters, as the Navy deliberates over various expansion scenarios in the cards for 2045.
Since 2014, Congressional allocations have consistently surpassed the US Navy's shipbuilding budget requests by an average of $2.5 billion annually. The fleet's size has raised alarms, particularly as it grapples with its multifaceted missions and China's burgeoning naval strength. China currently fields 370 ships, surpassing the US' 290.
However, experts contend that US submarines' advanced capabilities and enhanced naval personnel training give the United States an edge over their Chinese counterparts.
Uncertainties shroud the Navy's long-term fleet plans, but the CBO is confident that expenses will outstrip expectations.