USS Leonard Wood (APA-12) was built by Bethlehem Shipbuilding Corporation and launched 17 September 1921 at Sparrows Point, Maryland as Nutmeg State, an Emergency Fleet Corporation Design 1029 ship intended as a World War I troop transport, but redesigned upon the armistice as a passenger and cargo ship and completed as Western World for delivery to the United States Shipping Board. The ship's acceptance on 5 May 1922 and delivery on 9 May 1922 marked the completion of the wartime shipbuilding program of the Emergency Fleet Corporation and the Shipping Board.

The Emergency Fleet Corporation (EFC) was established by the United States Shipping Board, sometimes referred to as the War Shipping Board, on 16 April 1917 pursuant to the Shipping Act to acquire, maintain, and operate merchant ships to meet national defense, foreign and domestic commerce during World War I.