John Phelan, forced out of the Trump administration, has quickly become a major Pentagon story after officials said the Navy secretary would leave his post “effective immediately.” His departure came after about 13 months in office and followed repeated reports of clashes with Defence Secretary Pete Hegseth and Deputy Defence Secretary Steve Feinberg.
Sean Parnell, a spokesman for Hegseth, announced the move on social media. He said Navy Undersecretary Hung Cao will serve as acting secretary of the Navy.
Phelan’s removal followed growing tension over shipbuilding, management decisions, and broader Pentagon direction. Officials said the administration had become increasingly frustrated with the slow pace of progress in reviving American shipbuilding, a major priority for President Donald Trump.
Tensions deepened after Phelan suggested at the Sea-Air-Space conference that the Navy could examine outsourcing shipbuilding abroad. Critics saw the idea as inconsistent with efforts to strengthen domestic shipyards.
Another source of friction involved Phelan’s handling of an inquiry linked to Senator Mark Kelly. Hegseth wanted a tougher response, while Pentagon leadership viewed Phelan’s approach as too restrained.
Following Phelan’s departure, Hung Cao is set to assume the role in an acting capacity. As a Navy veteran, Cao has said that Hegseth had backed him for the position for some time. The transition appears to have caught many defence officials off guard. Just hours before officials announced his exit, Phelan had been on Capitol Hill meeting Republicans on the Senate Armed Services Committee.
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Phelan’s exit comes amid broader turmoil at the Pentagon and in the Trump administration. His departure within a larger pattern of removals, resignations, and leadership shake-ups affecting senior civilian and military officials. Sen.
Jack Reed called the move troubling and argued it reflected instability and dysfunction at the Department of Defence. At the same time, critics have linked other recent leadership removals to a broader pattern under Hegseth’s tenure.