Navy Secretary Carlos Del Toro says growing threats around the world underscore the importance of a $1.7 billion upgrade at Portsmouth Naval Shipyard.
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The seven-year project will double the shipyard's capacity to handle the Navy's newest Virginia-class attack submarines.
Del Torro said Wednesday that getting vessels repaired and overhauled on time is critical as China threatens sea lanes, Russia's navy is emboldened and "rogue states and terrorists" threaten vessels in the Middle East.
The groundbreaking was held Wednesday at the shipyard.
Capt. Daniel Ettlich, the shipyard's commander, called it "the largest and most complex project" awarded by the Naval Facilities and Engineering Command.
