Trump Fires Navy Secretary John Phelan Over Shipbuilding Disputes

President Donald Trump fired Navy Secretary John Phelan on April 23, 2026, following pressure from Defense Secretary Pete Hegseth and Deputy Secretary Stephen Feinberg. The dismissal centered on Phelan's failure to produce a viable plan for a high-tech "Trump-class" battleship fleet—including the USS Defiant—on an aggressive timeline aiming for 2028. Hegseth also objected to Phelan bypassing the military chain of command to pitch programs directly to the president.

Phelan, a billionaire investor with no prior military experience, attempted to save his job during a last-ditch visit to the White House, but Trump backed Hegseth's decision. Trump later characterized Phelan as a "hard charger" and a "long time friend," attributing the exit to internal friction regarding the building and buying of ships.

Hung Cao, a retired Navy captain and former undersecretary, was appointed acting secretary. Cao has been tasked by Hegseth with increasing recruitment standards and eliminating diversity, equity, and inclusion (DEI) and vaccination requirements. This ouster is part of a broader Pentagon shakeup under Hegseth, who has removed over a dozen senior officials, including Army Chief of Staff General Randy George. Inside the Pentagon, these removals have been described by some officials as "petty middle-school drama."

The leadership transition occurred while the U.S. Navy maintained a blockade of Iranian ports in the Strait of Hormuz during a fragile ceasefire. Senator Mark Kelly criticized the administration's strategy as "flailing," while the Iranian Embassy in Thailand mocked the instability, stating that "Regiment change continues."