US Navy Secretary John Phelan dismissed amid Pentagon leadership upheaval

Billionaire appointee removed during Iran conflict, with no official explanation provided by the Department of Defense.

US Navy Secretary John Phelan was dismissed from office with immediate effect, the Pentagon announced Wednesday, marking the latest in a series of senior military leadership changes during the ongoing conflict with Iran.¹²

The Pentagon provided no official explanation for Phelan's departure. Spokesperson Sean Parnell said only that Phelan "is departing the administration, effective immediately" and would be replaced in an acting capacity by Undersecretary Hung Cao.¹³

Sources speaking on condition of anonymity told Reuters that Phelan was dismissed in part because he was moving too slowly to implement reforms intended to accelerate shipbuilding and because he had fallen out with key Pentagon leadership.¹² One source cited strained relationships with Defense Secretary Pete Hegseth, Hegseth's deputy Steve Feinberg, and Cao, the Navy's number two civilian.¹² A source also cited an ethics investigation into Phelan's office.²

Phelan, described as a billionaire with close ties to President Donald Trump, is the first administration-picked service secretary to be fired since Trump returned to office last year.² His removal comes as US naval forces enforce a blockade on Iranian ports and maintain a heavy presence around the Strait of Hormuz, through which 20 percent of the world's oil and gas passes during peacetime.³

The dismissal follows the removal of Army Chief of Staff General Randy George and two other senior officers earlier this month.¹ Since returning to office, Trump's administration has overseen the firing of the chair of the joint chiefs of staff, Air Force General CQ Brown, and the chief of naval operations and air force vice chief of staff.²