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From 2024–2028, the Department of Defense will spend approximately $9 billion on military projects on Guam, including:
- $7.3 billion in military construction projects
- $1.7 billion on an integrated missile defense system
In addition to an influx of supplies and equipment to support the construction, a number of new servicemembers will also be stationed on the island.
The transfer of approximately 5,000 Marine Corps troops from Okinawa to Guam will start in December 2024, with completion estimated by 2028. Marines will be stationed at Marine Corps Base Camp Blaz, an installation overseen by Joint Region Marianas.
Additionally, to support the missile defense system, the Department of Defense plans on moving additional servicemembers to the island.
In this article, we’ll take a look at the current plans for Guam’s military buildup, as well as the expected economic and infrastructure impact to the island.
What Is the Guam Military Buildup?
As a U.S. territory, Guam plays a strategic role in the western Pacific region. In addition to being the place where “America’s day begins,” it’s also a key location for U.S. operations in close proximity to Asia. This makes Guam a prime support hub for any potential initiatives or conflicts in Asia. For example, aircraft could refuel on Guam and both military and humanitarian operations could potentially launch from the island.
As part of a multi-year buildup on Guam, military construction projects totaling more than $10 billion have been planned, starting in 2015 and estimated to last through 2028.
Fast Facts on the Guam Military Build-Up
- Military construction spending is expected to peak in 2025. A significant amount of that spending will go toward the planned missile defense system, as well as to the Department of the Navy for the construction of Marine Corps Base Camp Blaz. (Although the Marine Corps is an independent branch of the military, it operates as part of the Department of the Navy.)
- The military population on Guam will grow by 2,500 through 2025. By 2037, the population is expected to grow by 15,500, a number that includes active duty personnel, DOD civilians, reservists, National Guard personnel, and their dependents. Ultimately, that means a total estimated military population of ~44,000 on Guam.
- To support continued construction efforts, the waiver of H-2B visa worker (temporary non-agricultural worker) limits has been extended through 2029, to address potential labor shortages in completing construction work.
Marine Corps Base Camp Blaz
Under an agreement with Japan to move approximately 5,000 Marines from Okinawa to Guam, the Marine Corps will station these troops at MCB Camp Blaz, the first new Marine Corps base in 70 years. The base is named after Brig. Gen. Vicente Tomas “Ben” Garrido Blaz, the first Chamorro Marine.
Construction is currently is underway, with the first Marines arriving in 2024. Along with Naval Base Guam and Andersen Air Force Base, MCB Camp Blaz falls under the oversight of the leadership of Joint Region Marianas.
How Will the Military Buildup Impact Guam?
Economic Impact
The construction activity associated with the buildup is anticipated to create a significant number of jobs on Guam, as well as construction and installation contracts for on-island providers. The buildup will also require freight and logistics services from local Guam businesses, including drayage, trucking, and delivery services for materials and equipment.
Guam’s Delegate to United States House of Representatives, James Moylan, has highlighted additional upside for Guam, including “increase[d] spending in local establishments throughout the island, enhance[d] training opportunities for our community, and . . . a surge with our tax base.”
Infrastructure Impact
Both the construction and the influx of additional personnel on Guam have the potential to impact Guam’s current infrastructure. As part of the buildup, the DOD is investing in the infrastructure on Guam, including:
- Electrical Infrastructure: The U.S. military uses about 20% of Guam’s electricity supply. To create less military dependence on the island’s primary electrical grid, operated by the Guam Power Authority (GPA), Congress authorized $34.4 million in funds for the Energy Resilience and Conservation Investment Program to build an electrical distribution system for Guam. Guam is also receiving $6.3 million in federal funding for overall energy infrastructure improvements through the Infrastructure Investment and Jobs Act.
- Physical Infrastructure: The DOD is currently investigating possible improvements to roadways, the airport, and the Port of Guam.
- Water: The DOD has made investments in additional infrastructure to support MCB Camp Blaz and continues to coordinate with the Guam Waterworks Authority.
- Housing: Many are concerned that the influx of military personnel will limit available housing for Guam residents—and increase prices beyond local families’ budgets. As part of the National Defense Authorization Act (NDAA), a proposed $290 million will be dedicated to new military housing, with the intention of softening potential impact on Guam’s housing market.
What’s Next for Guam?
Our team at DeWitt Guam anticipates continued incoming freight shipments to support current and future military construction projects on Guam. We also expect a continued need for logistics support to move materials, supplies, and equipment to various locations around the island.
Our installation teams have already completed several on-base military projects, including:
Looking for Freight or Logistics Support?
If you’ve got a military contract for work on Guam, our team would be happy to assist. As a one-stop freight and logistics provider, we can assist with freight shipping, on-island pick-ups/deliveries and trucking to all locations on Guam, installations, office and industrial projects, and more.
All of our team members have standing base access, so we can start work immediately anywhere within Joint Region Marianas, including Andersen Air Force Base, Naval Base Guam, Marine Corps Base Camp Blaz, the Army National Guard Barrigada Complex, or any other military installation on Guam.
Just reach out, and we’ll be in touch to discuss how our experienced team can assist with your project.
