America's largest military shipbuilder, Huntington Ingalls Industries (HII), has entered a partnership with robotics firm GrayMatter to integrate artificial intelligence and autonomous systems into shipbuilding. The agreement, announced on Monday, seeks to automate labour-intensive processes like sanding and coating to accelerate production for both crewed and uncrewed vessels.

Eric Chewning, HII’s Executive Vice President of Maritime Systems and Corporate Strategy, stated the goal is to "integrate physical AI into manned and unmanned shipbuilding" to accelerate ongoing industrial modernisation. The initiative targets four key areas: developing autonomous shipbuilding capabilities, integrating GrayMatter's technologies, workforce training, and scaling uncrewed system production.

Pushing Beyond Traditional Automation

HII has previously explored automation, but its application in complex naval construction has limits. "We have taken these traditional automation technologies as far as they can go in the complex production of Navy ships," Chewning explained. He noted that current automation is largely confined to repetitive tasks due to the customised nature of warship construction.

The new focus is on Physical AI—artificial intelligence embedded in machines that interact with the physical world. This technology aims to give robotic systems greater versatility to perform multiple, complex functions rather than single, repetitive actions.

Addressing a Labour and Precision Crisis

The partnership will test GrayMatter's "Factory Superintelligence AI" for tasks such as grinding, blasting, inspecting, and finishing metal structures. Ariyan Kabir, CEO and co-founder of GrayMatter Robotics, highlighted the dual challenge of demanding work and a shrinking talent pool. "These are physically brutal tasks that require incredible precision, and we don't have enough skilled people anymore in the US who are capable of doing these jobs," Kabir said.

This labour shortfall coincides with increased demand for new naval vessels, creating a production bottleneck the industry is urgently trying to solve.

The Path to Implementation

The coming year will serve as a demonstration phase. HII and GrayMatter will pilot the technology, test its efficacy in a live shipyard environment, and plan for subsequent production scaling. While GrayMatter, a six-year-old California-based company, has worked with the US Navy and other defence sectors, this marks its first direct collaboration with HII on autonomous shipyard robotics.

Beyond AI and robotics, HII is pursuing other strategies to boost output. These include expanding its supply chain, partnering with over 20 smaller shipyards and manufacturing centres, and increasing wages to attract workers from vocational and apprenticeship programmes.