Anduril Industries is in advanced talks with Maryland port operators to establish a production facility for unmanned surface vessels (USVs) at the historic Sparrows Point shipyard, according to sources familiar with the matter.

The defense-tech company has signed a memorandum of understanding with Tradepoint Atlantic, which owns the 3,300-acre industrial site in Baltimore County. The location offers deep-water port access and a legacy of shipbuilding and steel manufacturing.

Anduril's potential investment could reach hundreds of millions of dollars for manufacturing and testing drone boats, reflecting growing military demand for autonomous maritime vessels. The discussions involve Maryland Governor Wes Moore's office, with state incentives likely playing a role in any final agreement.

While no lease has been signed and talks could still fall through, the move signals defense startups' interest in revitalizing American industrial infrastructure. The utility of USVs has been underscored by recent conflicts, including tensions with Iran.