U.S. Navy Secretary John Phelan has been fired due to tensions with Defense Secretary Pete Hegers and Deputy Defense Secretary Steve Feinberg over the Navy’s modernization agenda and shipbuilding priorities, according to U.S. officials.His removal was confirmed in a statement from Pentagon spokesman Sean Parnell, who said Hegers and Feinberg “are grateful for Secretary Phelan’s service to the Department of Defense and the U.S. Navy.” Cao Hong, currently Vice Minister of the Navy, has been appointed Acting Minister of the Navy.The Wall Street Journal, citing people familiar with the matter, said the decision came after growing disagreements over the president’s pace of execution. Donald TrumpNavy priorities, particularly shipbuilding and fleet modernization. Pentagon sources said Hegers and Feinberg believed Phelan was not moving quickly enough on key defense procurement targets.Phelan reportedly informed of the dismissal via phone call minutes before the announcement. Previously, “Wall Street Journal” sources said that Phelan was meeting with lawmakers on Capitol Hill regarding the Navy’s budget requests.Tensions within the Pentagon have reportedly been brewing for months. Officials expressed concerns about Phelan’s close communication with President Trump on Navy issues, including direct exchanges on shipbuilding policy, which reportedly bypassed traditional Pentagon channels.Disagreements also emerged over major acquisition proposals, including Phelan’s push for new Navy programs that Pentagon leadership believed were not properly coordinated within the chain of command.The leadership change comes amid broader friction within the U.S. defense establishment, with Hegseth overseeing a series of senior military personnel changes in recent months.Phelan, who is sworn in as Navy secretary in March 2025, has previously faced internal resistance over his management style and policy approach, particularly on acquisition reform and the Navy’s leadership structure.The firings come as the Pentagon moves forward with major naval expansion and shipbuilding plans under the current administration, with senior officials emphasizing faster delivery timelines and greater alignment with the White House’s defense goals.
