Washington: The State of U.S. Aerospace

WASHINGTON STATE THE STATE OF U.S. AEROSPACE

Washington State Department of Commerce

THE STATE OF U.S. AEROSPACE There’s no doubt about it.

When it comes to building aircraft in the United States, Washington is the state of U.S. aerospace. Nobody else even comes close.

A recent study by the prestigious Teal Group confirms what we’ve known

all along. The state’s supercluster of advanced aerospace manufacturing and highly skilled workforce are second to none, allowing Washington companies to produce more revenue, sell more products and services, and generate more profits.

As a global leader in aerospace, Washington is looking forward to the next 100 years of building the world’s most innovative and successful aircraft, unmanned aerial systems and space exploration vehicles.

WASHINGTON STATE

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SECTOR OVERVIEW

BOEING’S IMPORTANCE

Washington’s aerospace supercluster benefits from a dense ecosystem of innovation and collaboration, supported by a supply chain that supports every major aircraft manufacturer and airline in the world.

Boeing’s Commercial Airplane Division is headquartered in Washington. Every Boeing model that begins and ends with a ‘7’ has been built in the state.

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1,400 aerospace-related companies – the largest supply chain in the United States.

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1,400+ aircraft and unmanned aerial systems are produced annually in Washington.

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136,100 workers are employed in Washington’s aerospace industry.

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Washington exports more aerospace products annually than California, Texas, Georgia, Florida, South Carolina, Arizona and Alabama – combined!

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Washington’s supply chain is the second largest supplier to Airbus.

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Aerospace is a $70 billion industry, supporting more than 250,000 jobs in the state.

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Washington is the sole producer of Boeing’s 737, 747, 767 and 777 lines as well as the vast majority of 787s. The K-46 Pegasus and P-8 Poseidon are also manufactured in Washington.

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The state has produced more than 30,000 commercial and military aircraft over the last century.

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Boeing’s Renton plant has been referred to as the most efficient manufacturing facility in the world, producing 737s at the rate of 47 a month.

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Boeing produces 72 new planes every month in its Washington factories.

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47% of Boeing’s global workforce is in Washington State.

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The company invested $1 billion in a new Composite Wing Center in Everett to produce the new wings for the 777X, the largest composite wings in the world.

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Boeing has a backlog of nearly 6,000 jets, which at current production rates, will take seven years to fulfill.

FAST FACTS •

Washington builds 90% of all commercial aircraft produced in the United States.

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The state has the third-fastest GDP per capita growth in the U.S. over the past five years.

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Washington has the 4th lowest tax rate on manufacturing and 5th lowest taxes in the nation.

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The state’s aerospace industry specializes in aerostructures; composites; advanced materials; aircraft interiors; engineering and tooling; avionics; IT; R&D; unmanned aerial systems; entertainment and navigation systems; and commercial space.

Washington State Department of Commerce

COMMERCIAL AIRCRAFT PRODUCTION - 2017 WASHINGTON SOUTH CAROLINA ALABAMA

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SKILLED WORKFORCE One of the things that sets Washington apart is our highly-skilled, experienced workforce. Many of our workers are second- and third- generation aerospace who grew up in a rich family tradition of building the world’s best airplanes.

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Washington is the second most competitive state in the U.S. for labor, material, energy and construction costs.

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The state ranks second in the U.S. in labor and education, which measures the availability of workers, the level of educational attainment of the population and state K-12 spending.

A growing commercial space cluster is focused on propulsion, satellites, avionics, structures and launch systems.

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Every $1 paid to Washington aerospace workers generates $11 in revenue.

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The state has more aerospace workers than California, which is five times its size, and twice as many as Texas, which has three times the population.

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Washington has 5.7 times the national average in aerospace engineers and the highest density of aerospace engineers in the U.S.

STUDY HIGHLIGHTS

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One out of 29 residents has an engineering degree, the second highest in the nation.

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Innovative public-private partnerships connect employers with high schools, trade schools and colleges to provide real-world training from the classroom to the factory floor.

OUR STRENGTHS For more than a century, Washington’s aerospace industry has built upon its solid reputation for innovation and excellence. It is a unique ecosystem that drives unparalleled production and profits.

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Washington ranks #1 nationally in aerospace sales, exports, profits and employment.

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Washington has the third highest density of aerospace manufacturers and suppliers in the nation.

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The state has the lowest cost industrial energy in the U.S. and is the only state where industrial power costs less than 5¢ per kilowatt hour.

The Teal Group’s study ranked Washington #1 overall by an almost 2 to 1 margin over #2 Ohio.

North Carolina (#3), Kansas (#4), Colorado (#5), Georgia (#6), Utah (#7), Texas (#8), Arizona (#9) and Alabama (#10) round out the top 10 states for aerospace. Each state was measured against 41 individually weighted metrics, from unit labor cost to property and sales taxes.

Washington ranked: #1 – Aerospace Industry #1 – Overall Economy #1 – Low-Cost Energy #1 – Lower Individual Tax Income #2 – Labor & Education #2 – Low Insurance Losses #3 – Patents Per Capita #3 – Supplier Density #4 – Manufacturing Taxes #5 – Research & Innovation #5 – Risk to Operations #5 – Overall Taxes & Incentives #11 – Transportation Funding* *Washington, voters have authorized nearly $70 billion in new funding to address transportation issues around the state.

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Contact Us Today If you’re looking for a smart investment opportunity or want to expand your operations, Washington State is the state of U.S. Aerospace.

To find out more about Washington’s aerospace supercluster and how you can be part of it, call +1 (206) 256-6100 or email us at aerospace@choosewashingtonstate.com.

To learn more about Washington State, visit www. choosewashingtonstate.com Read the entire Teal Group ACES study at bit.ly/aces-report