US Navy Secretary John Phelan has been fired after months of reported tensions with Defense Secretary Pete Hegseth and Deputy Defense Secretary Steve Feinberg over the Navy’s modernization agenda and shipbuilding priorities, according to US officials.His dismissal was confirmed in a Pentagon statement released by spokesman Sean Parnell, who said Hegseth and Feinberg were “grateful to Secretary Phelan for his service to the Department and the U.S. Navy.” Hong Cao, who is currently Undersecretary of the Navy, was appointed Acting Secretary of the Navy.Officials familiar with the matter, quoted by the Wall Street Journal, said that the decision came after growing disagreements over the pace of implementing President Donald Trump’s maritime priorities, especially shipbuilding and fleet modernization.
Pentagon sources said Hegseth and Feinberg felt Phelan did not move quickly enough on key defense procurement goals.Phelan was reportedly informed of the shooting in a phone call minutes before the announcement was made. Before that, sources told the Wall Street Journal that Phelan was on Capitol Hill meeting with lawmakers on the Navy’s budget request.Tensions inside the Pentagon have reportedly been mounting for months.
Officials cited concerns about Phelan’s close communication with President Trump on maritime issues, including direct exchanges on shipbuilding policy, which reportedly bypassed traditional Pentagon channels.Disagreements also emerged over key procurement proposals, including Phelan’s push for new Navy programs, which Pentagon leadership felt were not properly coordinated within the chain of command.The leadership change comes amid broader rifts within the US defense establishment, where Hegseth has overseen a series of senior military personnel changes in recent months.Phelan, who was sworn in as Secretary of the Navy in March 2025, had previously faced internal opposition over his management style and policy approach, particularly regarding acquisition reforms and the Navy’s command structure.The firing comes as the Pentagon advances a major naval expansion and shipbuilding under the current administration, with senior officials emphasizing faster delivery timelines and greater alignment with the White House’s defense goals.
