Brownsville’s $3.2B shipyard is in jeopardy as Saronic meets with California leaders

Saronic Technologies is actively engaging with leaders in California as it narrows its search for a site to build a multibillion-dollar shipyard, signaling intensifying competition with South Texas for the project.

The Austin-based company met with economic development officials, workforce partners, and state leaders in Solano County, California, to discuss a potential location for its proposed Port Alpha shipyard, according to reporting by the San Francisco Business Times.

“It’s been reported that it’s down between us and Brownsville, Texas, and it’s a potential $3 to $5 billion investment,” Chris Rico, CEO of the Solano Economic Development Corporation, told the California publication.

Saronic reportedly discussed the project with the office of California Gov. Gavin Newsom, Cal Poly Maritime Academy, Napa-Solano Building Trades Council, and the Solano Economic Development Corporation.

Leaders there say their region is “in contention” for the project, which could represent an investment of more than $3 billion and create about 10,000 jobs.

Saronic said in a statement to the Business Times that its nationwide site search “remains active and ongoing.”

The development places the Rio Grande Valley in direct competition with California as the company evaluates where to build its primary manufacturing hub for autonomous surface vessels.

In Texas, Saronic has identified the Port of Brownsville as a potential site and has already filed economic incentive applications tied to a proposed $3.2 billion project.

Local officials have already begun approving incentive packages to strengthen the region’s bid.

Last month, the Point Isabel Independent School District approved a $228 million property tax relief agreement for the project. The deal would reduce the company’s tax burden over time while still generating hundreds of millions in revenue for the district.

That agreement, alongside ongoing negotiations with Cameron County, signals how aggressively local entities are working to secure the project as competition intensifies.

Cameron County officials said they were continuing negotiations with the company after delaying a scheduled vote for economic incentives last month.

Cameron County Judge Eddie Treviño Jr. previously told the Rio Grande Valley Business Journal that the company requested the delay as discussions move forward.

The project, known as Port Alpha, would mark a major expansion into defense manufacturing for the region, with work tied to steel fabrication, welding, and ship assembly.

The company has indicated that incentives will be a key factor in its final site selection.