Federal Shipbuilding and Drydock Company

The Federal Shipbuilding and Drydock Company was a United States shipyard in New Jersey active from 1917 to 1948. It was founded during World War I to build ships for the United States Shipping Board. Unlike many shipyards, it remained active during the shipbuilding slump of the 1920s and early 1930s that followed the World War I boom years. During World War II, it built merchant ships as part of the U.S. Government's Emergency Shipbuilding program, at the same time producing more destroyers for the United States Navy than any yard other than the Bath Iron Works. Operated by a subsidiary of the United States Steel Corporation, the shipyard was located at Kearny Point where the mouth of the Hackensack River meets Newark Bay in the Port of New York and New Jersey.

Around 570 vessels were contracted for construction by Federal SB&DD Company with about 100 not delivered fully completed due to the end of the World War II. Federal also had a yard at Port Newark during World War II that built destroyers and landing craft.

Federal Shipbuilding and Dry Dock Company was founded July 24, 1917, as a subsidiary of United States Steel Corporation to supply ships for the United States Shipping Board during World War I. The site on Kearny Point was first surveyed during the summer of 1917. The shipyard was to consist of everything needed to fully complete a ship from a facility power plant to a wood joining shop. A steel plate mill and boiler shop were to be built as well. $10 million ($245 million today) was allocated for construction. The American Bridge Company was contracted to provide 10,000 tons of steel for the structures. E. H. Gary was president of Federal in August 1917. The ship-ways were completed by the fall of 1917 with keels being laid by November 1917. Federal completed a 9,600-ton ship around six weeks before World War I ended as well as two other ships before the close of 1918. 27 ships were delivered to the Emergency Fleet Corporation in 1919. Federal accounted for 5% of the steel merchant tonnage built in 1919.

By June 1921, the Federal yard at Kearny had a 535 by 161.5 feet (163.1 m × 49.2 m) boiler construction shop to build Scotch marine boilers, exhaust stacks, tanks, uptakes and other related items. 235 boilers had been constructed from September 1919 to June 1921. Boilers constructed there were mostly 15 feet (4.6 m) diameter or larger. At that time, 250 men were able to construct three boilers a week with a single 8-hour shift each day.

By November 1921, Federal had shipbuilding ways for twelve 15,000-ton vessels and had constructed a 9,000-ton floating dry dock. The dry dock was first used June 23, 1921, when Transmarine Corp.'s SS Suhulco docked. The Kearny yard was 17 acres (6.9 ha) with 2,400 feet (730 m) of frontage on the Hackensack River. A wet basin was located at the southern end with a 100-ton 3-legged jib crane for fitting out new ships.

On Sunday night, May 18, 1924, a fire destroyed the largest building at the Kearny yard causing an initially estimated $500,000 in damage. Other estimates were $1.6 million or as high as several million dollars in damage. Firemen used four mobile cranes to try to extinguish fires in the pattern building and the plate shop. Over a thousand workers were idled by the fire. The shipyard had around 5,000 workers at the time and was said to be one of the largest steel fabrication plants in the world. Fireboats and numerous firemen from around the area were called in to fight the fire which spread rapidly through the wooden structures at the Kearny yard.

The Federal yard at Kearny remained operational during the difficult interwar period and Great Depression when many shipyards across the country did not.

Federal made national news when around 16,000 workers went on strike at Kearny from August 7 to August 25, 1941. Work was stopped on $493 million ($10.5 billion today) in Navy and merchant shipbuilding contracts as the nation ramped up ship construction before entering World War II. The strike was ended when President Franklin D. Roosevelt ordered the Navy to seize control of the facility. The final sticking point in negotiations had been the refusal of management at Federal to accept demands to require a "maintenance of membership" clause which would effectively make the shipyard a closed shop. Company president Lynn H. Korndorff offered the shipyard to the Navy rather than accept the demands to become a closed shop.