AEROSPACE DEFENSE AEROSPACE AND DEFENSE INDUSTRY

Transcription

1 AEROSPACE AND DEFENSE INDUSTRY

2 ARIZONA IS AT THE FOREFRONT OF THE AEROSPACE & DEFENSE INDUSTRY Frm cybersecurity t maintenance, repair and verhaul, the Aerspace & Defense industry flurishes in Arizna. Sustaining and expanding the state s industry are: Specialized manufacturing capabilities Pr-business regulatry climate Culture f innvatin A dry, sunny climate Miles f wide pen space A strng cmmitment t America s military BAE Systems manufactures bdy armr at its Phenix facility. Nrthrp Grumman is develping unmanned aerial systems in Sierra Vista. Raythen s guided missiles divisin is headquartered in Tucsn. Being builds and refurbishes the U.S. Army s Apache helicpters in Mesa. Orbital ATK prduces satellites and launch vehicles at facilities in Chandler and Gilbert. General Dynamics Missin Systems innvates in the fields f secure cmmunicatins netwrks, radis, satellite technlgy and cybersecurity at its Scttsdale facility. Rbertsn Fuel Systems fabricates aircraft fuel tanks in Tempe. Arizna s expertise ensures the state will remain at the leading edge f the Aerspace & Defense industry s mst critical advances. Hneywell Aerspace is headquartered in Phenix and manufactures prpulsin engines and auxiliary pwer units. L3 Cmmunicatins builds avinics systems at its Phenix facility. MD Helicpters is headquartered in Phenix and manufactures several f its helicpter mdels in Arizna. 2

3 ARIZONA IS A TOP THREE STATE FOR AEROSPACE MANUFACTURING ATTRACTIVENESS 3

4 INDUSTRY HIGHLIGHTS AND RANKINGS Federal Spending $11.8 billin in ttal federal cntracts in fiscal year 2016 $9.1 billin in Department f Defense cntracts in fiscal year 2016 Labr Market 54,112 emplyees $4.75 billin ttal annual payrll 1,200+ establishments Aerspace & Defense Exprts $3.99 billin ttal Aerspace & Defense exprts in 2016 $983 millin nminal grwth in spacecraft and launch vehicle exprts frm Tp 10 state fr Aerspace & Defense exprt prducts in the natin Aerspace & Defense prducts made up 18% f Arizna s ttal exprts fr 2016 The aerspace industry in the regin includes 1,860 cmpanies respnsible fr ver 62,000 jbs 4

5 3RD LARGEST MAINTENANCE, REPAIR AND OVERHAUL ECONOMIC IMPACT AT $4 BILLION 5

6 ARIZONA IS STRONG ACROSS AEROSPACE & DEFENSE INDUSTRY SEGMENTS Maintenance, Repair and Overhaul Arizna is hme t many MRO facilities, including 139 FAA-certified peratins. Amng these is Marana Aerspace Slutins near Tucsn. One f the largest MRO facilities in the wrld, the 1,200- acre cmplex can accmmdate up t 400 aircraft. Per the Aernautical Repair Statin Assciatin s 2017 reprt U.S. Emplyment & Ecnmic Impact, Arizna s ttal aviatin maintenance emplyment is 16,673, the sixth highest in the natin. Arizna s MRO peratins have a ttal ecnmic activity f $4.0 billin, the third highest in the natin. Cybersecurity Arizna s cybersecurity prfessinals prtect many f America s tp cmpanies. Large cmpanies such as Hneywell, Charles Schwab, American Express and Secursis have sme r all their security teams based in the Valley, while ther Arizna research firms such as ARTIS wrk t understand human and state behavir related t cyber warfare. Many f the tp cybersecurity cmpanies in the wrld have peratins in Arizna including: BAE Systems Cisc EY IBM LifeLck Lckheed Martin Raythen rt9b Ttal ecnmic utput fr aircraft, aircraft engine, and parts manufacturing: $11.8 billin (Tp Five State) 6

7 4TH LARGEST EMPLOYMENT IN AEROSPACE & DEFENSE MANUFACTURING WITH 32,546 WORKERS 7

8 ARIZONA IS STRONG ACROSS AEROSPACE & DEFENSE INDUSTRY SEGMENTS Unmanned Aerial Systems Arizna serves as a hub fr innvatins in Unmanned Aerial Vehicle (UAV)/Unmanned Aerial Systems (UAS) technlgy. Fur f the state s prminent universities University f Arizna, Arizna State University, Nrthern Arizna University and Embry-Riddle Aernautical University are engaged in UAS-related research prjects. In additin, Arizna State University, Embry-Riddle Aernautical University and the Unmanned Vehicle University ffer degrees in UAS. Tp-Ranked Aviatin Facilities and Strategic U.S. Military Installatins Phenix Sky Harbr, Arizna s largest airprt, is ranked amng the busiest 10 cmmercial airprts in the United States ffering nnstp service t 80 destinatins, with mre than 1,200 flights serving mre than 120,000 passengers and mving 800 tns f air carg every day. Tucsn Internatinal Airprt ffers 19 nnstp destinatins and serves an average f 3.2 millin passengers annually. In ttal, there are 83 airprts in Arizna. Yuma s airprt has unparalleled military ties and is hme t ne f the cuntry s mst prestigius defense aviatin parks, the 120-acre Defense Cntractr Cmplex (DCC). The DCC is lcated near the airprt and Yuma Prving Grunds, and supprts defense cntractrs such as Being and ther firms by prviding a secure space t cmplete technical testing. In additin, the Department f Defense has several military installatins acrss the state including Davis-Mnthan Air Frce Base in Tucsn, Frt Huachuca in Sierra Vista, and Luke Air Frce Base in Glendale. p Yuma Prving Grund Yuma Marine Crps Air Statin Yuma Flagstaff Luke AFB p Phenix p 8 10 Davis-Mnthan AFB Tucsn p Ft. Huachuca Libby AAF 19 Barry Gldwater Range Cmmercial Service - Majr Cmmercial Service - Primary Cmmercial Service - Secndary p Military Reliever Airprts General Aviatin Highways Miles Arizna Airprt System Military Installatins State Trust Land Bureau f Land Management Natinal Parks and Frests Tribal Lands Bureau f Reclamatin Fish and Wildlife Service ± 8

9 6TH LARGEST EMPLOYMENT IN MAINTENANCE, REPAIR AND OVERHAUL WITH 16,673 WORKERS 9

10 ARIZONA IS STRONG ACROSS AEROSPACE & DEFENSE INDUSTRY SEGMENTS Space Orbital ATK prduces satellites in the greater Phenix area while scientists frm arund the wrld visit Arizna s Munt Graham Internatinal Observatry and the Lwell Observatry t cnduct research n submillimeter wavelengths, galactic astrnmy and star psitining. Bth Arizna State University and the University f Arizna have been instrumental in furthering research abut Mars, including develping instruments used n the Mars rvers Spirit, Opprtunity and Curisity. Travel t space, nce the exclusive purview f elite astrnauts, is nw being marketed t turists and adventurers. In Tucsn, Wrld View Enterprises has develped a high-altitude balln capsule capable f taking travelers and paylads mre than 19 miles abve the earth. Optics Optics and phtnics have lng been a key piece f mdern innvatin and the Tucsn regin, smetimes referred t as Optics Valley, is a leader in the state s $3 billin ptics industry. The University f Arizna serves as a hub fr these innvatins and is currently prducing sme f the largest and mst advanced telescpe mirrrs fr use in the Magellan Telescpe. Suthern Arizna manufacturers ffer a wide range f precisin-machined ptical prducts and instruments as well as ptical engineering services. Steward Observatry Mirrr Lab Lcated underneath the campus f the University f Arizna in Tucsn, which ffers the largest astrnmy graduate prgram in the cuntry, the Mirrr Lab is helping astrnmers capture the mst miraculus images f the universe t better understand the secrets f ur galaxy. 10

11 8TH LARGEST IN AVIATION AND AEROSPACE SERVICES WITH 21,566 WORKERS 2ND LARGEST EMPLOYMENT IN GUIDED MISSILE AND SPACE VEHICLE MANUFACTURING WITH 11,239 WORKERS 11

12 ARIZONA IS EDUCATING THE FUTURE AEROSPACE & DEFENSE WORKFORCE Arizna s Aerspace & Defense research initiatives abund at the university level, demnstrating bth the state s cmmitment t the industry s grwth and strng cperatin between Arizna s businesses, universities, cmmunity clleges and K 12 schls. Arizna State University has apprximately 20,000 students enrlled in engineering prgrams, including nearly 750 aerspace engineering students. U.S. News and Wrld Reprt 2017 ranked ASU #1 in the U.S. fr innvatin. The University f Arizna ffers a wide range f activities and academic pprtunities t mre than 2,600 engineering students. U.S. News and Wrld Reprt 2017 ranked UA third natinwide fr its management infrmatin systems prgram. Nrthern Arizna University has develped a curriculum that aligns perfectly with the state s aerspace and defense initiatives. This includes diverse astrphysics prgrams, mechanical engineering, aerspace studies, adaptive research and materials, cmpsites, and ptics. Embry-Riddle Aernautical University is the nly fully accredited, aviatin-riented university in the wrld. It has a ttal undergraduate enrllment f 2,205. U.S. News and Wrld Reprt 2017 ranked Embry- Riddle 13th in the cuntry fr its undergraduate engineering prgrams at schls where n dctrate is ffered. The Maricpa Cunty Cmmunity Cllege District has 206,000 students enrlled. Many f the cmmunity clleges ffer specialized prgrams in autmatin, welding, and advanced manufacturing, each based n lcal emplyer input. The system als ffers specialized prgrams fr emplyers, including Being and Caterpillar. Western Maricpa Educatin Center ffers high schl students pprtunities t train fr jbs in grwing industries, including aerspace and defense. West- MEC students can cmplete a tw-year prgram in aviatin technlgy which prepares them fr a career in aircraft repair and maintenance. After cmpleting the prgram, the students can test fr FAA airframe and pwerplant certificatin. West- MEC als ffers a tw-year avinics and electrnics prgram that allws students t test fr 12

13 the Federal Cmmunicatins Cmmissin certificatin. Pima Cmmunity Cllege s Aviatin Technlgy Prgrams are cmmercial aviatin-riented and prvide pathways t the aviatin maintenance field. Specifically, Pima Cmmunity Cllege prvides a structural repair prgram, an avinics technician prgram, and an airframe and pwerplant certificatin prgram. All prgrams award students certificates r assciate degrees, and several prgrams als prvide federal licensure pprtunities. The East Valley Institute f Technlgy prepares high schl students fr careers in Aerspace & Defense thrugh its aviatin prgram. The prgram has several tracks including flight peratins, flight service, unmanned aerspace vehicles, air traffic cntrl, maintenance, air transprtatin, and flight peratins. The prgram varies in length f time t cmplete depending n which area f fcus a student chses, but sme curses qualify fr dual enrllment with the Maricpa Cunty Cmmunity Cllege System

14 ARIZONA OFFERS PROGRAMS DESIGNED TO ENHANCE THE SUCCESS OF AEROSPACE & DEFENSE COMPANIES. Arizna has lwered taxes, streamlined regulatins, and established a suite f prgrams t supprt crprate grwth and expansin. Quality Jbs Tax Credit Prgram Prvides tax credits t emplyers creating new jbs and making capital investments in Arizna. Research & Develpment Tax Credit Prgram Prvides incme tax credits fr increased research and develpment activities cnducted in Arizna. Freign Trade Zne Tax Credit Prgram Prvides up t an 80 percent reductin in state real and persnal prperty taxes fr businesses lcated in a freign trade zne r sub-zne. Qualified Facility Tax Credit Prgram Offers a refundable incme tax credit t eligible manufacturing cmpanies making a capital investment t establish prductin facilities r manufacturing-related research & develpment r headquarters peratins. Military Reuse Zne Tax Credit Prgram Prvides a transactin privilege tax (sales tax) exemptin r prperty tax reclassificatin fr aerspace & aviatin cmpanies r airprt authrities lcated in a military reuse zne. Jb Training Grant Prgram Prvides up t a 75 percent reimbursement f eligible training expenses t emplyers creating new jbs. 14

15 Additinal Depreciatin Prgram Accelerates depreciatin schedules fr prspective acquisitins f cmmercial persnal prperty. Public Infrastructure Funding Prgram fr Manufacturing Prvides manufacturers a means f mitigating infrastructure csts by allwing cnstructin sales tax dllars t be redirected tward public infrastructure csts

16 Fr further infrmatin: Sandra Watsn, President & CEO 118 N. 7th Avenue, Suite 400 Phenix, AZ Phne Fax