---
kind: "section"
citation: "46 U.S.C. § 57502"
title: "46"
title_heading: "Shipping"
number: "57502"
heading: "Construction, reconditioning, and remodeling of vessels"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/46/57502"
units:
  - "Subtitle V — Merchant Marine"
  - "Part F — Government-Owned Merchant Vessels"
  - "Chapter 575 — Construction, Charter, and Sale of Vessels"
  - "Subchapter I — General"
---

# §57502. Construction, reconditioning, and remodeling of vessels

- (a) **In General.—** The [Secretary](/usc/46/53101.md?p=8) of Transportation may have [new vessels](/usc/46/53301.md?p=a-2) constructed, and have old [vessels](/usc/46/53501.md?p=9) reconditioned or remodeled, as the [Secretary](/usc/46/53101.md?p=8) determines necessary to carry out the objectives of this subtitle.
- (b) **Place of Work.—** [Construction](/usc/46/53701.md?p=3), [reconditioning](/usc/46/53701.md?p=3), and remodeling of [vessels](/usc/46/53501.md?p=9) under [subsection (a)](#a) shall take place in shipyards in the continental [United States](/usc/46/53101.md?p=10) (including Alaska and Hawaii). However, if satisfactory contracts cannot be obtained from private shipbuilders, the [Secretary](/usc/46/53101.md?p=8) may have the work done in navy yards.
- (c) **Applicability of Construction-Differential Subsidy Provisions.—** Contracts for the [construction](/usc/46/53701.md?p=3), [reconstruction](/usc/46/53701.md?p=3), or [reconditioning](/usc/46/53701.md?p=3) of a [vessel](/usc/46/53501.md?p=9) by a private shipbuilder under this chapter are subject to the provisions of title V of the Merchant Marine Act, 1936, applicable to a contract with a private shipbuilder for the [construction](/usc/46/53701.md?p=3) of a [vessel](/usc/46/53501.md?p=9) under title V of that Act.

## Source credit

(Pub. L. 109–304, § 8(c), Oct. 6, 2006, 120 Stat. 1664.)

## Notes

| Historical and Revision Notes |  |  |
| --- | --- | --- |
| Revised<br>Section | Source (U.S. Code) | Source (Statutes at Large) |
| 57502(a), (b) | 46 App.:1192. | June 29, 1936, ch. 858, title VII, § 702, 49 Stat. 2008; Pub. L. 85–191, Aug. 28, 1957, 71 Stat. 471; Pub. L. 86–624, § 35(c), July 12, 1960, 74 Stat. 421; Pub. L. 97–31, § 12(104), Aug. 6, 1981, 95 Stat. 162. |
| 57502(c) | 46 App.:1193(b). | June 29, 1936, ch. 858, title VII, § 703(b), 49 Stat. 2008. |

In subsection (b), the words “for such new construction or reconstruction, in accordance with the provisions of this chapter” are omitted as unnecessary.

### Editorial Notes

### References in Text

The Merchant Marine Act, 1936, referred to in subsec. (c), is act June 29, 1936, ch. 858, 49 Stat. 1985. Title V of the Act enacted provisions set out as notes under section 53101 of this title. For complete classification of this Act to the Code, see Short Title of 1936 Amendment note set out under section 101 of this title and Tables.