A city and state partnership focused on shipbuilding will bring jobs to the city over the next three years. The Commonwealth and Aker Philadelphia Shipyard Inc. plan to construct two oil tankers at the Navy Yard over the next two years.
The state will invest $42 million for the existing capital assets of the Aker Philadelphia Shipyard. In turn, the City has agreed to temporarily defer $8 million in tax settlement payments due from APSI, which purchased the Shipyard’s assets over the last decade.
ASPI has committed $210 million to complete the project, which is expected to create 1,000 jobs, through private investment.
It’s all a movement to keep the South Philadelphia Navy Yard competitive. The partnership is a saving grace for the Shipyard, which was facing closure in the coming months and had already laid off several hundred workers.