US President Donald Trump announced that he has dismissed Navy Secretary John Phelan following disagreements over shipbuilding issues. Speaking to reporters in the Oval Office, Trump said Phelan was hardworking but had differences with others regarding new ship construction and procurement. The decision came amid ongoing tensions within the Navy’s leadership over the pace of implementing reforms to accelerate shipbuilding.

According to sources cited in the report, Phelan was removed due to slow progress in carrying out reforms aimed at speeding up ship production. The Pentagon has not provided any official reason for his dismissal. Reports also indicate that Phelan’s relationship with Undersecretary Hung Cao was strained.

Hung Cao has been appointed as acting Navy Secretary following Phelan’s removal. The White House and Pentagon have not yet commented further on the leadership transition or future plans for the shipbuilding program.