U.S. DMS Plans Over $30 Million Expansion of Wärtsilä Marine Engine Plant
2026-08-13 10:12
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en.Wedoany.com Reported - On August 12, the U.S. state of Virginia announced that Defense Maritime Solutions (DMS) plans to invest more than $30 million to expand its marine power equipment business in Chesapeake, establishing U.S.-based manufacturing and testing capabilities for Wärtsilä large medium-speed marine engines. The project is expected to create 32 new jobs, with the expanded plant scheduled to deliver its first engine in 2028.

The expansion will cover engine manufacturing, assembly, system integration, testing, surface treatment, packaging, and full lifecycle services. The planned engines will have a single-unit power output of approximately 1–10 megawatts, suitable for government fleets and commercial vessels. DMS expects the plant to complete more than 100 megawatts of engine manufacturing and testing annually in its initial phase of operation, with subsequent capacity to be adjusted based on engine specifications and order structures of shipbuilding projects.

The project will involve both renovating existing facilities and constructing new additions. DMS has purchased an adjacent property in the industrial park where its current plant is located, providing space for new production buildings and expanded operational areas. The more than $30 million investment will also be used to procure cranes, engine manufacturing equipment, large lifting and handling systems, and to build engine test stands.

The new testing facility will handle full-engine operational testing and factory acceptance tests. After assembly, engines can undergo load testing on-site before delivery to shipyards or vessel operators. According to DMS's disclosed schedule, infrastructure construction, existing plant upgrades, and equipment installation are expected to take 18 months to two years, with technician training to proceed in parallel with construction.

DMS plans to allocate most manufacturing processes to the Chesapeake plant, using materials and components sourced from the United States and countries compliant with U.S. federal defense procurement regulations. The production arrangements target U.S. government shipbuilding projects with domestic manufacturing requirements, with potential customers including the U.S. Navy, Coast Guard, Military Sealift Command, and other government fleets. The commercial vessel market is also within the plant's service scope.

DMS is a wholly owned subsidiary of Finland's Wärtsilä Group, with existing operations covering marine propulsion, power generation, shaft systems, steering systems, and equipment maintenance services. The company operates facilities in Chesapeake, Poulsbo, Washington, and San Diego, California. The Chesapeake plant has previously established capabilities in thruster equipment assembly, integration, and testing.

The Virginia state government will provide $300,000 in performance-based grants for the project, with employee recruitment and training eligible for support under the Virginia Jobs Investment Program. The project will also align with the "Icebreaker Collaboration Initiative" advanced by the United States, Canada, and Finland, with DMS engaging with relevant shipyards on equipment supply for projects such as polar security cutters.

 

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