MARINETTE—The state of Wisconsin will support the shipyard expansion at Fincantieri Marinette Marine with up to $12 million in state tax credits through the Wisconsin Economic Development Corp., Gov. Tony Evers’ office announced Thursday during a ribbon cutting marking the opening of the shipyard’s new Building 34.
FMM is under contract with the U.S. Navy to produce two guided-missile frigates, the first in the Constellation class at a cost of about $553.8 million each. The Navy has an option to order up to eight more of the ships, with a total contract value of about $5.5 billion.
In order to build these new frigates, FMM constructed its largest building at the Marinette shipyard, allowing the company to work on two of the frigates at the same time year-round in the 180,000-square-foot climate-controlled facility.
“We are very grateful for the support provided by the state of Wisconsin,” said Mark Vandroff, CEO of Fincantieri Marinette Marine. “The investment made by the state and Fincantieri is enabling us to meet the needs of our Navy customer by being able to produce two Constellation class frigates per year.”
Building 34 is where pieces constructed by workers in Marinette and the company’s Sturgeon Bay location, Fincantieri Bay Shipbuilding, will be assembled into the new ships.
“Fincantieri Marinette Marine’s expansion will require investments in our state’s most valuable resource—our workers,” said Sam Rikkers, deputy secretary and COO of WEDC. “WEDC is proud to partner with FMM to help create 400 new jobs and train those workers to build the ships of tomorrow. FMM is already working with our state’s universities and technical colleges to help Wisconsin students find career success in their shipyards.”
The actual amount of tax credits the company earns will depend on meeting its goals for capital expenditure, training, and hiring. Fincantieri has announced plans to invest at least $100 million in improvements to the Marinette and Sturgeon Bay shipyards and create 400 jobs over the next three years. The company has already invested $300 million in facilities to accommodate the production of the Constellation-class frigates.
“The significant investment and job creation that FMM has made will provide years of growth and economic development for Marinette, the surrounding communities, and the state of Wisconsin,” Marinette Mayor Steve Genisot said.
