Officials at Vought Aircraft Industries Inc. faced a difficult business decision in 2004. They knew that the company, which makes plane structures, needed to streamline costs and become more competitive.
The company decided to consolidate operations from two other states and grow the facility at its Dallas headquarters. At the announcement of the project in February 2004, the state of Texas also announced that Vought would receive $35 million from the Texas Enterprise Fund.
Vought has created nearly 1,000 new jobs in Dallas during the past and is on track to meet a goal of 3,000 new jobs by 2009.
“Because of the Texas Enterprise Fund grant and other sound business moves we have made during the past 12 months, a stronger and more dynamic Vought will be better able to compete in the global marketplace,” said Tom Risley, chairman, president and CEO of the company.
Vought Aircraft Industries is one of the world’s largest suppliers of aerostructures. The company designs and manufactures airframe structures such as wings, fuselage assemblies, empannegas, nacelles and components for airplane manufacturers. Vought employs more than 6,000 workers at seven U.S. facilities.
The company will partner with the University of Texas at Arlington to create an aerospace engineering program.
Other components of the aid package include the completion of nearby Hensley Field, so that Vought has 24-hour access to a private airfield for the shipment of its parts and goods. The city of Dallas and the state of Texas reopened the airfield, which sits adjacent to the Vought Industries site.
The state of Texas will also provide job training through the Texas Workforce Commission.
“The prolonged and dramatic downturn in the airline industry has been extremely challenging,” Risley said. “We have taken a hard look at our long-term business plan in order to remain competitive. Eliminating excess facility costs and plant modernization are two areas of focus.”
The expansion by Vought is an example of the growth in the aerospace industry in 2004.
The U.S. aerospace industry has faced tremendous challenges during the past decade. From greater global competition to the downturn in air travel following the terrorist attacks of 9/11, the number of U.S. workers in the industry has dwindled.
But the industry has begun to reverse a trend that saw employment drop to a 50-year low. The industry added nearly 28,000 jobs from February to December 2004.
One in six manufacturing jobs created in the United States in 2004 came in the aerospace industry, according to the Aerospace Industries Association (AIA).
“Aerospace is clearly vital to our country’s economic well-being,” said John W. Douglas, president and CEO of AIA. “It’s important our national leaders keep this in mind when considering policies that affect our industry.”
One of the most important factors for the continued growth of the U.S. aerospace industry is a steady supply of workers with the skills and education necessary to provide needed innovation. The revitalization of the aerospace work force is one of AIA’s top priorities in 2005.
The organization is urging Congress, industry associations, politicians, labor unions and other involved parties to recognize that a viable aerospace manufacturing work force is crucial for the success of U.S. aerospace industry.
According to AIA, the government, industry leaders, organized labor and academia must work together to identify and develop the needed skills at all levels and “create programs and strategies to ensure a work force that is ready to support our technological national security interests.”
Vought, Alenia To Support Boeing Project
Vought Industries was also part of big aerospace news earlier this year in South Carolina. The company and Alenia North America announced in February the formation of a joint venture to supply components to Boeing for 787 airplanes.
The joint venture, called Global Aeronautical, will be located at the Charleston International Airport. Rome-based Alenia makes combat and transport aircraft, aero structures, mission systems, and aircraft maintenance and modification systems.
Global Aeronautical will employ 250 people at the integration facility when operational, with two-thirds of the positions on the manufacturing floor. The remaining jobs will consist of technical support, administration and maintenance.
Executives of the joint venture will begin hiring to fill the positions later this year, with production expected to start in 2006.
“This remains the next step in solidifying our relationship with Alenia and support of our customer [Boeing] on the 787 program,” Risley said.
One of the states with the right combination of skilled workers, academic partnerships and facilities for aerospace companies is New Mexico. In Las Cruces, the Arrowhead Research Park, which is owned by New Mexico State University, is home to General Dynamics Aerospace, a space systems control contractor.
The research park also includes incubator space, called the Genesis Center, for technology startup companies. The city of Las Cruces has developed the Las Cruces West Mesa Industrial Park, which sits adjacent to the Las Cruces Airport.
The park was developed for light industrial uses, including aviation and technology-related businesses.
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