Executive insights: Maritime leaders on tariffs, workforce development and more

DONALD MILLS
President and general manager, Mills Marine & Ship Repair, Suffolk

Virginia Business: How did you move from being employed at Huntington Ingalls Industries and Newport News Shipbuilding to starting your own business?

Mills: At HII, I gained extensive hands-on experience, comprehensive industry insights and valuable professional relationships. This tenure taught me critical technical skills, safety practices and quality standards essential to ship repair. However, I consistently observed an underrepresentation of minority-owned businesses within the maritime industry, highlighting a significant market opportunity.

My goal was to leverage my experience to create a company grounded in excellence and diversity. By tapping into my network, securing funding through diligent business planning and federal small-business support initiatives, and capitalizing on targeted marketing strategies, Mills Marine & Ship Repair became the pioneering African American-owned ship repair company in the United States.

Strategic partnerships with larger corporations and commitment to exceptional service delivery facilitated the transition and allowed us to quickly establish credibility within the maritime community.

VB: There’s been a lot of discussion about how small, women- and minority-owned businesses may have more difficulties winning contracts under the current White House. Have you experienced any changes?

Mills: Since the new administration took office, Mills Marine & Ship Repair has experienced both challenges and opportunities reflective of broader industry trends for small, minority-owned businesses.

Competition has become fiercer, particularly for government contracts, which remain critical revenue streams for us. However, the administration has also emphasized bolstering national security, defense and infrastructure improvements, indirectly benefiting the shipbuilding and repair sectors. We have proactively adapted by strengthening our competitive edge through strategic partnerships and aligning our services with national priorities like naval readiness.

VB: How would long-term tariffs affect your company?

Mills: Long-term U.S. tariffs and retaliatory tariffs present substantial risks to Mills Marine & Ship Repair by significantly impacting material costs, supply chain reliability and overall competitiveness. Our operations depend heavily on imported steel, aluminum and specialty marine components, making us particularly vulnerable to tariff-driven price increases.

Sustained tariffs would force us to absorb increased material expenses, compromising profitability, or alternatively, pass these costs on to customers, potentially reducing our market competitiveness. To mitigate these potential impacts, we actively pursue diversified sourcing strategies, domestic supply chain enhancements and increased operational efficiencies.

KATHY ALEXANDER
Transportation manager, Newport News Shipbuilding; board member, Virginia Maritime Association, Newport News

VB: What is the biggest challenge for Virginia’s maritime industry, and why?

Alexander: I feel that one of the biggest challenges is workforce shortages, particularly in skilled maritime trades such as shipbuilding, logistics and port operations. As older workers retire, there is a growing need for trained professionals to fill critical roles.

VB: You’re also a member of the Virginia Maritime Association’s board. What are your goals?

Alexander: My goals as a member of this board are to build industry connections by attending networking events, conferences and meetings. I also plan to keep up with maritime development, stay informed and advocate for policies that benefit the maritime industry in Virginia.

RANDALL CRUTCHFIELD
Chairman and CEO, Colonna’s Shipyard, Norfolk

VB: You’re the fifth generation of your family to lead Colonna’s since 1875. What lessons do you keep in mind as a leader?

Crutchfield: The lessons I keep in mind are that hard work, good value and fair dealing should be what drives the business every day. This is what my great-great-grandfather believed in. Also, my grandfather typically ended conversations with “be kind” — and this is something that also informs our decision-making every day. Last, waking up each day with an attitude focused on the outcomes of our customers.

VB: How do you think tariffs and other White House policies regarding trade and defense will impact Colonna’s and other maritime businesses?

Crutchfield: At this point, the only assumption anyone can make is that the international trade landscape will be different 12 months from now. America has decisions to make regarding the importance of shipping, shipbuilding and ship repair vis-à-vis paying low prices for consumer goods. The decision for several decades has been to accept the cheapest prices for goods for consumers.

Concurrently, several other countries made decisions to capitalize on that through subsidies to their shipbuilding and repair industries, which has compounded the deterioration of our domestic capacity. The White House’s job will be to inform the public regarding the current state, provide a path forward and then see if the American consumer places priority on cheap goods or domestic capacity.

Domestic capacity is tied closely to national defense as many of the same industrial suppliers build and repair both commercial and national defense assets side by side.

BRETT MASSIMINO
Associate professor of supply chain management and analytics, Virginia Commonwealth University, Richmond

VB: How do you think automation will change supply chain management in Virginia?

Massimino: Digitization and automation will significantly impact supply chain management in Virginia over the next decade. While automation will improve efficiency and reduce costs, it will also displace certain manual jobs in inventorying, planning and shipment tracking. However, new positions will emerge in managing and maintaining these technologies, such as data analysts, system integrators and cybersecurity experts.
Increased reliance on digital information exchanges also introduces new disruption risks, as breakdowns in digital systems could be as disruptive as physical disruptions like weather events. Companies will need to enhance resilience using tools like blockchain and AI-driven analytics to improve visibility and response times.
Sustainability will drive demand for green supply chains, which would be supported by digital tools for route optimization and waste tracking. Large companies may quickly adapt to these advancements, but small and medium-sized businesses might face challenges in keeping pace due to their limited resources and expertise in these areas.

VB: What area would you say is a growing sector in logistics and supply chain work, where people can find a good job?

Massimino: A rapidly growing sector in logistics and supply chain management is last-mile delivery, with many companies competing to replicate Amazon’s model. Another key area is optimizing empty backhauls, where businesses focus on reducing inefficiencies from trucks returning empty, enhancing cost-efficiency and sustainability.

Managing digital data flows throughout the supply chain is also gaining mainstream attention. Many companies are only beginning to recognize the lack of visibility into how their data is used, shared and even monetized by suppliers. As data moves throughout the supply chain, managing and securing these digital flows without hindering operations has become a critical focus.