Yesterday, the Hampton Roads Alliance held a remarkable forum in Virginia Beach. The jam-packed gathering, aptly entitled “It’s Go Time,” was a vehicle for launching the Hampton Roads Playbook (Home – Hampton Roads Playbook). The Playbook, over a year-and-a-half in the making, boldly realigns the region’s economic development strategy with a national economy that is simultaneously remilitarizing, reshoring, and re-energizing, catalyzed by an accelerated deployment of next generation technologies. With new, objective evidence showing the region’s outsized and distinctive advantages, the Playbook puts forward 8 actionable projects and initiatives that exhibit the region’s determination to lead rather than merely participate in this transformation.
The Hampton Roads Playbook recognizes, more than any city, metropolitan, or state strategy of which we are aware, that the United States has entered a new era of industrial urgency. Strategic competition is reshaping global supply chains, alliances, and technologies. The wars in Europe and the Middle East, China’s threats in the Pacific, and the militarization of advanced technologies have forced the United States to confront a simple reality: domestic production of complex systems, including ships, submarines, aircraft, sensors, drones, energy assets, and autonomous systems is, once again, a national priority. For decades, the country focused on efficiency rather than capacity, outsourcing manufacturing and hollowing out the industrial base that once sustained its strength. That model is not viable in this new geopolitical reality. Deterring adversaries and supporting allies requires domestic production at scale, on time, and on American soil.
The Department of Defense’s Fiscal Year 2026 budget, nearly $1 trillion, reflects both the urgency and the magnitude of this challenge. Yet spending cannot compensate for a deeper problem: an industrial ecosystem that has not kept pace with national strategy. For example, the Government Accountability Office reports that most U.S. Navy shipbuilding programs are running twelve to thirty-six months behind schedule. The result is an uncomfortable paradox. The United States continues to design the world’s most advanced systems, but it cannot yet produce them quickly enough to meet global demand. The gap between design and delivery has become a national security risk.
Closing that gap requires a new generation of regions capable of building entire systems—places that combine production, research, training, logistics, energy and innovation in a single industrial geography. These are the emerging defense-industrial metros, where local governments and metropolitan corporations and institutions align shared missions of national importance.
Hampton Roads has become the clearest example of what that looks like in practice.
The Return of the Defense-Industrial Metro
Few U.S. regions combine strategic importance, industrial capacity, and scientific depth as fully as Hampton Roads. Long established as the anchor of the nation’s maritime defense, the region has evolved into one of America’s most critical industrial metros. The region receives more than $15 billion in annual Department of Defense contract spending; remarkably DOD accounts for about 90 percent of all direct federal spending locally. This flow of investment reflects both the region’s long-standing assets and the surge in national defense demand. The Department of Defense’s FY 2025 budget allocates $58 billion for submarine construction, including funding for nuclear-powered Columbia- and Virginia-class vessels, much of which will directly affect the Hampton Roads industrial base.
The region’s distinctiveness harkens back to the founding of the republic. As the Playbook summarizes, “The 37th most populous region in the United States, Hampton Roads is America’s largest polycentric metropolis. Comprised of 15 dynamic communities, each of which house an impressive array of assets, Hampton Roads is home to a constellation of innovation rather than the hub and spoke model of most of America’s metropolitan areas.”
The region’s defense presence is extensive. Naval Station Norfolk, the world’s largest naval base, and the Norfolk Naval Shipyard are central to the maintenance of the Atlantic Fleet. Newport News Shipbuilding—operated by Huntington Ingalls Industries—is the country’s only builder of nuclear-powered aircraft carriers and a core hub of the U.S. submarine industrial base. Its network of suppliers spans the mid-Atlantic and beyond, but much of the assembly, from modular construction to precision welding, occurs within the Hampton Roads metro. This concentration makes the region a linchpin of naval production and one of the few U.S. locations with the physical infrastructure, security clearances, and skilled workforce to support next-generation defense programs.
Hampton Roads also houses a cluster of federal research and scientific assets that diversify its economy beyond shipbuilding. NASA Langley Research Center, one of the nation’s oldest aerospace facilities, is a leader in flight testing, atmospheric science, and autonomous systems. The Thomas Jefferson National Accelerator Facility (Jefferson Lab) anchors a complementary focus on nuclear physics and high-performance computing. In 2023, the Department of Energy selected Jefferson Lab to lead its new High Performance Data Hub, a $300–$500 million national computing and data resource that will support institutions across the country. Together, these facilities extend Hampton Roads’ role from a defense production hub to a node within the broader U.S. science and technology infrastructure.
The Port of Virginia reinforces that dual identity. As the third-largest port on the Eastern Seaboard and the sixth largest in the United States, it handles both defense logistics and commercial trade. A $1.4 billion expansion, including a $450 million dredging project that made it the only East Coast port with 55-foot-deep channels, is increasing throughput and positioning the port as a key staging ground for offshore wind development. The $220 million modernization of the Portsmouth Marine Terminal is enabling it to assemble and deploy large offshore wind turbines.
The region’s energy portfolio has expanded rapidly. Dominion Energy’s $9.8 billion Coastal Virginia Offshore Wind (CVOW) project—176 turbines located 27 miles off Virginia Beach—will generate 2.6 gigawatts of power when complete. Additional phases of CVOW would add further capacity. These developments, supported by onshore substations and new transmission infrastructure, are establishing Hampton Roads as a center of the East Coast’s offshore wind economy. The South Korean firm LS GreenLink is constructing a local manufacturing facility for undersea cables to serve that market and others around the globe. Importantly, the Hampton Roads projects appear likely to generate power starting in 2026 and have been insulated from the policy headwinds affecting projects on other parts of the Eastern Seaboard.
The region remains a significant player in nuclear energy as well. Dominion Energy operates the Surry Nuclear Power Station nearby, while Huntington Ingalls plays a major role in the naval nuclear supply chain. This combination of civilian and military expertise gives Hampton Roads a specialized advantage as the U.S. expands investment in nuclear generation and clean-energy technologies.
Higher-education and research institutions add further capacity. Old Dominion University, Hampton University, Norfolk State University, William & Mary, and Virginia Tech’s Corporate Research Center all contribute to research in cybersecurity, energy systems, data management, and coastal resilience. The region’s entrepreneurial ecosystem has strengthened through organizations such as 757 Collab, 757 Angels, the Mid-Atlantic Tech Alliance and the Capital Access Hub, which help startups scale and diversify into dual-use technologies.
Recent infrastructure investments, many driven by locally driven referenda, are reshaping the region’s economic base. Projects now underway include $3.9 billion for the Hampton Roads Bridge-Tunnel expansion and $225 million for the Hampton Roads Sanitation District’s Sustainable Water Initiative for Tomorrow, a facility designed to recharge the Potomac Aquifer with more than 100 million gallons of treated water per day. Together with nearly $15 billion in energy, transportation, and port upgrades, these efforts underscore Hampton Roads’ role as both a defense hub and an emerging model for industrial modernization.
The current task for Hampton Roads is to build on its concentration of military, research, port, and energy assets to deliver the new national security imperative and use it to address several underlying economic and structural challenges. Further, these strengths must be integrated into a single, connected system capable of meeting both regional development goals and national defense imperatives. Under the leadership of the Hampton Roads Alliance, a diverse network of shipyards, corporations, universities, and governments has begun to act as a unified industrial system.
This shift from individual projects to coordinated systems is captured in the Hampton Roads Playbook, a portfolio of initiatives designed to strengthen national defense capacity while accelerating the region’s economic transformation. The Playbook is more than a plan; it is a working model of how a metro can integrate workforce development, innovation, infrastructure, and production into a single mission-driven framework.
The Hampton Roads Playbook
The Hampton Roads Playbook was created by the Hampton Roads Alliance, in partnership with New Localism Associates. It consists of a series of tangible projects that build on the region’s unique assets and take advantage of current economic and geopolitical trends. Across sectors like Defense, Energy, Aerospace and Logistics, the Playbook exemplifies how communities can tangibly benefit from a “Defense Dividend.”
In Hampton Roads, the following projects were co-designed to help the region advance national security while growing the local economy.
The Defense Efficiency and Production Center aims to tackle a fundamental bottleneck in naval production: the speed and reliability of workforce and supplier qualification. By co-locating testing labs, training facilities, and prototyping bays near major shipyards, the Center will reduce inspection times, accelerate certification, and expand the pool of skilled workers who can contribute to production and repair. It will also serve as a platform for innovation in materials and processes, experimenting with additive manufacturing, automation, and non-destructive testing methods that improve quality while shortening the production cycle.
The Maritime Training System extends that approach across the regional labor market. Built in partnership with the Hampton Roads Workforce Council, it links high schools, community colleges, and apprenticeship programs into a single coordinated network. Students can earn stackable credentials that carry across employers, enabling movement from entry-level to advanced roles without leaving the region. The system is projected to train more than six thousand workers annually in welding, fitting, coatings, and other high-demand trades. For the Navy and its contractors, it provides a predictable workforce pipeline; for residents, it offers stable, well-paying careers connected to a growing sector.
The NEXUS Initiative (National Excellence in Uncrewed Systems) represents Hampton Roads’ entry into the next frontier of defense innovation. Combining NASA Langley’s expertise in aeronautics with the region’s-controlled airspace and maritime facilities, NEXUS will serve as a national test and commercialization hub for uncrewed and counter-UAS technologies. The global market for these systems is projected to exceed $50 billion by 2030. NEXUS positions the region at the intersection of defense and civilian innovation, supporting applications that range from reconnaissance and logistics to offshore wind maintenance and coastal resilience.
The 757 Collab Defense Tech Accelerator ensures that innovation reaches deployment. Many startups and researchers fail to cross the gap between invention and procurement because the defense market is difficult to navigate. The Accelerator provides direct support in contracting, security compliance, and pilot testing, connecting entrepreneurs to prime contractors and DoD program offices. Its first cohort produced solutions in electromagnetic sensing, advanced sonar, and AI-driven logistics, illustrating how regional innovation can contribute to national priorities.
The Secure Energy Future Center recognizes that realizing the region’s full industrial and innovation potential will boost demand for reliable energy. The new Center, to be located at the Virginia Tech Corporate Research Center, aims to position Hampton Roads as a living laboratory for energy innovation and action.
The Elizabeth River Dredging and Modernization project expands the region’s physical capacity for ship repair and modular construction. By deepening the Elizabeth River channel, and upgrading berths, lifts, and utilities at adjacent shipyards, the project will enable larger vessels to undergo maintenance in Hampton Roads rather than waiting for space at naval facilities.
Together, these projects create a self-reinforcing system: the Defense Efficiency and Production Center and Elizabeth River project increase capacity; the Maritime Training System ensures that capacity is sustained; and NEXUS, the Secure Energy Future Center and the 757 Collab Accelerator move the region up the value chain toward design and innovation.
Global Reach: The AUKUS Center of Excellence
In addition to expanding capacity and innovation, Hampton Roads is also looking to explore its international reach. The AUKUS Center of Excellence, proposed in the Playbook, situates Hampton Roads within the broader international alliance that is redefining naval collaboration. The AUKUS partnership among the United States, the United Kingdom, and Australia is organized around two pillars: the joint development and operation of nuclear-powered submarines (Pillar I) and the coordination of advanced defense technologies such as quantum computing, AI, and undersea systems (Pillar II).
The AUKUS Center aims to be the U.S. anchor for this effort, with the goal of harmonizing training standards, supplier certifications, and technology transfer across allied industries. It will host exchange programs for engineers and apprentices, create shared curricula among universities, and facilitate the flow of components and expertise between shipyards. By embedding Hampton Roads in this trilateral industrial network, the Center ensures that the region’s capabilities are aligned not just with U.S. needs, but with those of its closest allies.
The implications are profound. The region’s experience coordinating across local governments now informs its approach to coordinating across countries and shaping the defense infrastructure of multiple nations. The AUKUS Center transforms Hampton Roads from a national asset into an international one.
The AUKUS Center builds upon international relationships that have already been cultivated. Significantly, Oliver Coppard, the metro mayor of South Yorkshire, UK participated in yesterday’s event and has already executed a Memorandum of Understanding with the Hampton Roads Alliance. A similar partnership has also progressed with Adelaide, Australia.
Activating the Network: The Council for Regional Executives (CORE)
Implementing this vision requires activating networks of people who share unparalleled expertise in critical sectors as well as an unbreakable commitment to advancing Hampton Roads. The Council for Regional Executives (CORE), convened by the Hampton Roads Alliance, provides a mechanism to harness the full energies of leaders who call Hampton Roads home.
CORE brings together leaders from industry, academia, and government to coordinate investment, policy, and communications. Former military commanders, university presidents, and corporate executives collaborate to identify shared priorities, align funding sources, and resolve implementation challenges. They act as both ambassadors and integrators, representing the region at national defense forums and ensuring that local projects advance as part of a unified system.
This is what the Hampton Roads Alliance calls radical collaboration. Once defined by fragmentation, the region is now recognized for its cohesion. Local governments that once competed for resources are working together on workforce pipelines, infrastructure planning, and supplier recruitment. The Alliance serves as the central platform; partners like Old Dominion University, Virginia Tech, William & Mary, Huntington Ingalls Industries, and the Port of Virginia contribute specialized expertise. The result is an ecosystem where industrial cooperation has become a form of civic leadership.
Economic and National Impact
The Hampton Roads Alliance projects that the Playbook’s initiatives, if implemented, may generate more than 10,000 direct and indirect jobs, expand training to more than 6,000 participants annually, and attract nearly one billion dollars in new investment by 2030. Those numbers represent more than growth; they signify a region closing the gap between national ambition and industrial capacity.
For the United States, the impact is immediate. By reducing production bottlenecks and expanding maintenance capacity, Hampton Roads helps the Navy deliver on its thirty-year shipbuilding plan. By modernizing workforce systems and training new welders, fitters, and technicians, it increases the country’s ability to sustain fleet operations. Through AUKUS, it reinforces allied supply chains that are increasingly central to global stability.
Equally important, the region’s innovations are spilling into civilian sectors. Technologies developed through NEXUS and the 757 Collab Accelerator are being adapted for commercial logistics, offshore energy, and other dual uses. The same advanced welding and materials science techniques used in submarine construction support wind-turbine manufacturing and port infrastructure. Hampton Roads demonstrates that defense investment, if organized through regional systems, can serve both national security and long-term economic diversification.
Together, these projects, along with Hampton Roads’ existing assets, allow the region to fully localize and play in each part of the defense value chain. Technologies are designed at research and innovation centers such as 757 Collab and NEXUS. They are adopted into production facilities in the region and even shared with allies through AUKUS. Labor is trained locally through local post-secondary institutions, the Maritime Training System, and the Defense Efficiency and Production Center. No single institution owns the outcome, but the regional system delivers it faster and at scale.
This model—many institutions, one mission—is what differentiates Hampton Roads. It turns defense into a civic enterprise, one that blends education, research, and production in continuous feedback. The payoff is both local and national: a stronger workforce, a more resilient supply chain, and an industrial base that can deliver what strategy demands.
Riding the Wave of Military Investment Toward a More Innovative Economy
The Hampton Roads Playbook is ultimately a template for industrial regionalism in 2025. It shows how a metropolitan area can translate federal missions into local execution, and local execution into durable prosperity. By aligning workforce systems, industrial infrastructure, and innovation platforms, Hampton Roads has built a model of economic development that is both grounded and forward-looking.
For Washington, the lesson is clear: strengthening the defense industrial base requires more than appropriations and large-scale contracts; it requires metropolitan systems that can turn strategy into production. For other regions, Hampton Roads provides a roadmap for how to combine local leadership, industrial partnerships, and civic collaboration into a single operating model.
In a period of global uncertainty, Hampton Roads offers something rare: proof that a region can align its economy with national purpose and, in doing so, expand opportunities for its people. It is building not only ships and submarines, but the system that builds them—and in the process, defining what the next generation of American industrial leadership will look like.
Bruce Katz is the Founder of New Localism Associates and Founding Director of the Nowak Metro Finance Lab at Drexel University. Florian Schalliol is the Founder of Metis Impact, a boutique consulting firm. Victoria Orozco is the Founder of Punto Data LLC.