John Phelan, the billionaire financier and Trump campaign megadonor, has resigned from his position as Navy Secretary after 13 months in office. Phelan’s tenure was marked by reported clashes with Defense Secretary Pete Hegseth, according to Pentagon officials.

Phelan, who contributed millions to former President Donald Trump’s campaign, was appointed to the role in a move seen as reinforcing the administration’s commitment to prioritizing national defense and military readiness. However, tensions with Hegseth, a staunch advocate for military reform and budget efficiency, reportedly hindered collaboration on key naval initiatives.

'Secretary Phelan’s departure underscores the challenges of balancing leadership styles within the Pentagon,' a senior defense official stated.

The Navy has faced mounting pressures in recent years, including growing competition with China in the Indo-Pacific region and the need to modernize its fleet. Phelan’s exit leaves a critical vacancy at a time when the service is seeking to expand its capabilities and address strategic challenges.

While no successor has been named, sources indicate that the administration is considering candidates with strong defense and naval backgrounds. The transition comes as the Pentagon continues to advocate for increased defense spending to counter global threats and maintain American dominance.