Title : The U.S. Navy's Procurement System Has Broken Down
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The U.S. Navy's Procurement System Has Broken Down
Next Big Future: US Navy cost increases are worse than the US healthcare system
In 2006, the RAND corporation found that from 1965-2005 the US Navy had 7-11% annual inflation for its ships which is worse than the inflation for US college tuition and US healthcare. This was before the Zumwalt destroyers (aka DDX) came in at $7.5 billion each compared to the previous destroyer at $1-2 billion each. Only 3 Zumwalts will be built and they have loads of technical and operational problems. Those were the high function and high cost end of the high-low mix of ships planned in 2006.
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WNU Editor: What caught my eye was this ....
.... Chinese ships are about 5 times lower cost than comparable US ships
And this ....
.... Other European countries can build ships at 2-5 times lower cost than the US is able. Those European ships have modern electronics, systems and weapons.
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