Governor Greg Abbott today announced Davie Defense Inc. will expand their shipbuilding capacity in Galveston and Port Arthur to build Arctic icebreakers, creating more than 2,400 new jobs and representing more than $730 million in capital investment. A Texas Enterprise Fund (TEF) grant of $21,771,000 has been extended to Davie Defense.

"With the best business climate in the nation, Texas is a magnet for complex, critical manufacturing," said Governor Abbott. "This significant capital investment by Davie Defense will expand economic opportunity in Galveston and Port Arthur and create thousands of good-paying jobs and further bolster national defense by expanding capacity for the manufacture of icebreakers and other specialized vessels for the U.S. government and commercial customers. Texas is positioned to be a national hub for critical shipbuilding and, with our strong workforce, we will be for generations to come."

Davie Defense intends to make its Texas operations ground-zero for the revitalization of the American shipbuilding industry — advancing American economic and national security by adding much-needed capacity to the U.S. industrial base. This historic investment in Texas will help promote American manufacturing, reindustrialization, and the nation's warfighting readiness by building complex vessels for government and commercial clients.

"Davie Defense is proud to deepen our commitment to Texas," said Davie Defense CEO Kai Skvarla. "Texas has one of the world's most business-friendly environments and the scale to support complex shipbuilding — a capability we're bringing back to Texas for the first time in generations. Our investment will serve American industry and the U.S. government for decades to come — starting with Davie's globally recognized specialty: the polar-capable icebreakers critical to U.S. national security."

"Congratulations to the City of Port Arthur and Davie Defense for their investment and award from the Texas Enterprise Fund," said Senator Robert Nichols. "Southeast Texas is a growing hub for manufacturing and development. This investment will help further protect our national and economic security and help create more opportunities for Southeast Texas to grow."

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"This is good news for Port Arthur," said Representative Christian Manuel. "It brings skilled jobs and new investment to our community. I welcome the opportunity this project creates for local workers. It also reflects the strength of our region's workforce and industrial base."

"Galveston is proud to have been selected by Davie Defense as the location of their shipbuilding facility, and we congratulate them on being the recipient of a Texas Enterprise Fund grant," said Galveston Mayor Dr. Craig Brown. "Their presence is vital to our economic growth and benefits not only Galveston, but the entire nation."

"This Texas Enterprise Fund award for Davie Defense, Inc. is great news for Port Arthur and for the people who call this city home," said Port Arthur Mayor Charlotte M. Moses. "It reflects the steady work being done to bring new opportunities to our community. Davie Defense's expansion means new jobs, new investment, and real opportunity for our residents. As a city, we are focused on economic growth that supports families, strengthens neighborhoods, and builds a better future for the next generation. We stand ready to work with Davie Defense as this project moves forward and to seeing the positive impact it will have across our community."

"I am extremely excited learn that Davie, a world-renowned shipbuilder, has decided to locate significant operations in Jefferson County and that Governor Abbott has come alongside local governments to incentivize their operations here in Port Arthur," said Jefferson County Judge Jeff Branick.  "I am also encouraged by Davie's partnership with Lamar State College to develop and train ship fitters and others who will be employed in their significant operations contributing to our local economy and our national security."

"Davie Defense chose Galveston because we are a pro-business community with a highly skilled workforce and a deep-water port," said Galveston Economic Development Partnership Executive Director Joshua Owens. "The support from the Texas Enterprise Fund was crucial in making Texas the clear choice as the next domestic shipbuilding powerhouse. We are confident that Davie's market leadership will spur other defense and maritime manufactures to consider the Texas Gulf Coast as their next location.

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"On behalf of the Port Arthur Economic Development Corporation, we are honored to celebrate the State of Texas' award of a Texas Enterprise Fund grant to Davie Defense, Inc.," said Port Arthur Economic Development Corporation Interim CEO Krystle Villarreal Muller. "This investment is a strong vote of confidence in our community's workforce, resilience, and business climate. We are proud to have worked alongside Davie Defense, Inc., the State of Texas, and our local partners to support this expansion that will drive the creation of new jobs and significant capital investment in Port Arthur, further strengthening our local economy and providing new opportunities for our residents."

View more information about Davie Defense.

TEF is a performance-based grant that may be awarded to a business relocation or expansion project for which one Texas site is in competition with out-of-state locations to create new, good-paying jobs in the community and attract significant new capital investment to the state.

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