Officials with the Erie-Western Pennsylvania Port Authority were briefed Jan. 28 on a proposal to develop a new shipyard in Erie, Pa., aimed at constructing vessels for the U.S. Navy.
The project, known as Gem City Shipbuilding, would be located on a portion of the former Erie Coke site along Erie’s bayfront. Representatives said the effort is envisioned as a public-private partnership focused on national defense ship construction while also driving regional economic development.
The proposed shipyard site occupies part of the former Erie Coke industrial property, a roughly 194-acre parcel at the foot of East Avenue along Lake Erie. The facility operated as a coke production plant from 1925 until its closure in 2019 following longstanding environmental compliance issues. The property was later acquired by the port authority for redevelopment and is undergoing environmental remediation under federal oversight.
According to project backers, the multi-year plan would unfold in three primary phases: environmental remediation of the former industrial property, construction of new shipyard facilities, and eventual vessel production in partnership with an established strategic shipbuilding firm.
During the presentation, proponents described Gem City Shipbuilding as an opportunity to revive Erie’s historical ties to naval shipbuilding. They said the project would contribute to national security objectives while creating jobs and new industrial activity across northwestern Pennsylvania and the broader Great Lakes region.
Rep. Mike Kelly attended the briefing alongside port authority officials. Supporters emphasized Erie’s waterfront location on Lake Erie as a geographic advantage for ship construction and logistics.
Cost estimates shared during the presentation varied widely. Early figures placed total project investment at well over $100 million, while other estimates suggested a potential range of $250 million to $750 million. Funding is expected to come from a mix of private capital and public sources, though no formal financing package has been announced.
Project advocates said that cleanup and reuse of the site for shipbuilding would return heavy industry to the bayfront under modern environmental and regulatory standards.
No timeline for groundbreaking or vessel contracts has been disclosed.
