U.S. President Donald Trump and Finnish President Alexander Stubb have approved a landmark agreement for the United States to acquire up to 11 new icebreaker ships. The agreement, signed on Thursday, establishes a memorandum of understanding between the two nations.
The deal will allow the U.S. Coast Guard to purchase “Arctic Security Cutters” (ASCs), medium icebreakers designed to operate in extreme polar conditions. The total project is expected to cost around $6.1 billion and will involve shipbuilding both in Finland and the United States.
According to U.S. officials, Finland will build four Arctic Security Cutters (ASCs) at its shipyards, while the remaining seven vessels will be constructed in the United States, using Finnish expertise and designs. Of these, three will be built by Davie in Galveston, Texas, and four by Bollinger Shipyards in Houma, Louisiana.
The first icebreaker is expected to be delivered by 2028, and the initiative is estimated to create thousands of skilled shipbuilding jobs while generating billions of dollars for the U.S. maritime industry. The Coast Guard now has only two Arctic security cutters, showing the urgent need to expand the fleet.
A White House official said the new icebreakers will strengthen national security in the Arctic and respond to Russia’s and China’s growing activities there. Trump reportedly called Finland a world leader in building icebreakers and described their vessels as “the finest in the world.” Finnish Prime Minister Alexander Stubb called the agreement a major strategic move.
The two leaders have maintained cordial relations since Trump’s return to office in January. They previously met in March at Trump’s Mar-a-Lago estate in Florida, where discussions on Arctic cooperation reportedly began.
During their Oval Office meeting, Trump reaffirmed America’s commitment to defend Finland, a NATO member, against any potential threat from Russia, though he expressed doubt that Russia would take such an action.
The two leaders also planned to discuss the war in Ukraine. Trump, who earlier tried to mediate between Russia and Ukraine, is now said to be disappointed with Putin and more supportive of Ukraine.
Finland holds a dominant position in the global icebreaker industry. Data released by the Finnish government last year shows that about 80% of the world’s existing icebreakers were designed by Finnish firms, with around 60% built at Finnish shipyards.
The country has long sought closer icebreaker cooperation with the U.S., but the Jones Act, which limits foreign-built ships in U.S. waters, was a barrier.
A 2021 congressional report clarified the Jones Act does not apply to icebreakers, and the U.S. president can approve exemptions for foreign-built ships if it serves the national interest.
Reference: Reuters
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