Damen Awarded $40.5 Million Navy Modification for Landing Ship Royalties
Damen Shipbuilding & Cooperation B.V. received a $40.5 million firm-fixed-price modification to set royalty fees for up to eight Medium Landing Ships, with work in Gorinchem, The Netherlands, due by September 2027.
Damen Shipbuilding & Cooperation B.V., a Gorinchem-based Dutch shipbuilder, received a $40.5 million Navy contract modification to set royalty fees for up to eight Medium Landing Ships, as announced on war.gov.
The firm-fixed-price modification adjusts a previously awarded contract, N00024-25-C-2414, and covers licensing costs tied to the vessel design, according to war.gov. The Navy will obligate $40.5 million in fiscal 2026 shipbuilding and conversion funds at the time of award, and those funds will not expire at the end of the current fiscal year.
Work will take place in Gorinchem, The Netherlands, and the Navy expects completion by September 2027, according to war.gov. Portfolio Acquisition Executive Maritime, Washington, D.C., serves as the contracting activity.
The Medium Landing Ship program aims to give the Marine Corps a smaller, cheaper amphibious vessel able to move troops and equipment across contested shorelines. The design supports the service’s shift toward distributed operations across the Pacific, where dispersed forces need agile transport rather than large, high-value ships.
The award marks the first contract recorded for Damen Shipbuilding & Cooperation B.V.in 2026, bringing the company’s total contract value for the year to $40.5 million, according to war.gov. It ranks as the 21st Department of Defense contract awarded in Washington during 2026.
The modification sits well below the 2026 Navy portfolio’s top end. The year-to-date maximum reached $8 billion, while the smallest award stood at about $9 million, according to war.gov. This award was one of 12 Department of Defense contracts issued nationwide on July 31, 2026.
Winners and losers hinge on the program’s long-term outlook. A foreign yard capturing royalty payments signals reliance on an established European design, a benefit for Damen and its licensing partners. Domestic shipbuilders competing for future production could lose ground if the Navy leans on the imported blueprint rather than a homegrown alternative.
For the average American reader, the deal touches how tax dollars fund the fleet. The obligated $40.5 million comes from congressionally appropriated shipbuilding money, and the choice of a Dutch design reflects a broader debate over cost, speed and where the Navy sources its ships.
This has happened before. The Navy routinely licenses foreign designs and pays royalties on vessels built or adapted for U.S. service, and the Medium Landing Ship effort has drawn on commercial roll-on, roll-off concepts common in European yards. Contract modifications establishing fees on prior awards remain a standard tool in shipbuilding acquisition.
The next decision rests with Portfolio Acquisition Executive Maritime, the contracting activity in Washington, D.C., which oversees the program’s future production and options. A date for the next award decision has not been announced.
Dutch shipbuilding has shaped naval power for centuries, as happened before. In the 17th century, the Dutch Republic operated the largest merchant and war fleet in Europe, and its yards at Amsterdam and Zaandam turned out warships that carried the Republic through successive Anglo-Dutch Wars. The 1667 raid on the Medway saw Dutch forces tow away the English flagship Royal Charles. That naval prowess made the Netherlands a maritime supplier whose designs still reach foreign navies today.
This contract represents the 1st contract awarded to Damen Shipbuilding & Cooperation B.V., Gorinchem, The Netherlands, in 2026, bringing the company’s total contract value for the year to $40,498,088. It is also the 21st Department of Defense contract awarded in Washington during 2026. Because this is the first award to Damen Shipbuilding & Cooperation B.V., Gorinchem, The Netherlands recorded in the database, it establishes the company’s initial benchmark within the Navy portfolio. Specifically, it falls between the 2026 Navy portfolio’s year-to-date minimum of $9,046,496 and maximum of $8,000,000,000. Overall, this award was announced among 12 Department of Defense contracts issued nationwide on July 31, 2026.
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