Navy Awards $2.6 Billion Contract for New Landing Ship Medium Program

The U.S. Navy has awarded a $2.6 billion contract to TOTE Services LLC for the construction of the new Landing Ship Medium (LSM), a critical asset for the Marine Corps' littoral mobility. Utilizing a non-traditional Vessel Construction Manager acquisition model, the program aims to deliver up to eight initial vessels to support Marine Expeditionary Forces in contested environments. This procurement marks a significant milestone in amphibious warfare strategy, focusing on intra-theater transport within strategic regions like the First Island Chain.

Naval Sea Systems Command (NAVSEA) awarded the prime contract for the Landing Ship Medium (LSM) to TOTE Services LLC of Jacksonville, Florida (CAGE code 0B1X4). The $2.6 billion contract, designated N00024-26-C-2421, was facilitated through a non-traditional Vessel Construction Manager (VCM) Request for Proposal. This acquisition method allowed the Navy Portfolio Acquisition Executive Maritime (PAE Maritime) team to move from RFP to award in just five months, significantly outpacing the standard eight-month government contracting cycle.

The initial production phase involves the construction of up to eight LSMs. As the VCM, TOTE Services will execute and manage subcontracts with Bollinger Shipyards (CAGE code 64513) for the construction of one vessel and Fincantieri Marinette Marine (CAGE code 0VP52) for four vessels. TOTE Services retains the authority to determine the award strategy for the remaining three ships in this initial batch. This program was formerly known as the Light Amphibious Warship (LAW) initiative and is projected to eventually include between 18 and 35 ships.

These new amphibious vessels are designed to provide critical intra-theater littoral mobility for the Marine Corps, specifically supporting the I and III Marine Expeditionary Forces (MEF). The ships are intended for use in contested environments, such as the First Island Chains forward-stationed in Japan. By providing these capabilities, the LSM program addresses a vital requirement for Marine forces to operate effectively in strategic maritime regions where traditional large-scale amphibious ships may be less suitable.