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April 23, 2026

Navy Secretary John Phelan exits post as Pentagon names acting replacement

The Pentagon has pushed out Navy Secretary John Phelan, installing Undersecretary Hung Cao as acting leader effective immediately.

The abrupt exit removes the Navy’s top civilian leader while the service remains central to U.S. military operations, and adds to a growing list of senior departures tied to leadership conflicts inside the Pentagon.

Pentagon spokesman Sean Parnell announced the move Wednesday, offering no explanation beyond a brief statement. Reporting from CNN and Fox News indicates Phelan was forced out, with some sources saying he was given the option to step down.

Leadership change at the Navy

Phelan had led the Department of the Navy since March 2025, overseeing naval forces and the Marine Corps.

His exit puts Hung Cao, a Navy veteran and former Senate candidate in Virginia, in charge on an interim basis.

UNITED STATES – JUNE 26: Hung Cao, nominee to serve as under secretary of the Navy, attends his Senate Armed Services Committee confirmation hearing in Dirksen building on Thursday, June 26, 2025. (Tom Williams/CQ-Roll Call, Inc via Getty Images)

The position carries responsibility for a service actively engaged in U.S. maritime operations, including enforcement actions tied to policy in the Middle East.

Internal friction inside the Pentagon

Reporting from CNN and Axios describes months of strain between Phelan and Defense Secretary Pete Hegseth, centered on shipbuilding priorities and control over major acquisition programs. Some officials also took issue with Phelan’s direct line to President Donald Trump on Navy matters.

Tasos Katopodis/Getty Images

Neither the Pentagon nor the White House has addressed those accounts in detail.

Broader turnover across senior ranks

Phelan’s removal adds to a run of senior-level changes across the administration. As Straight Arrow has reported, Defense Secretary Hegseth recently asked Army Chief of Staff Gen. Randy George to step down, and several top Army posts have turned over.

Outside the Pentagon, multiple Cabinet officials have exited in recent weeks, including former Attorney General Pam Bondi, former Secretary of Homeland Security Kristi Noem, and former Labor Secretary Lori Chavez-DeRemer.

The Navy secretary role had remained stable until now.

Prior scrutiny

Phelan, a financier before entering government, drew attention earlier this year after records showed he was listed on a 2006 flight manifest tied to convicted sex offender Jeffrey Epstein, according to a report from CNN. A person close to Phelan said he was invited onto the flight by another executive and had no further interaction with Epstein. There is no indication of wrongdoing.

He was confirmed with bipartisan support and had been involved in efforts to expand the Navy’s fleet and advance shipbuilding programs during his tenure.


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