#United States #Wichita #Defense Manufacturing #Global Location Strategies

Unprecedented Growth in Aerospace and Defense Manufacturing

The aerospace and defense manufacturing sector is on a remarkable upward trajectory, with recent reports indicating that investment has more than doubled from 2022-2023, signaling the beginning of a new growth cycle. The Global Location Strategies (GLS) has released its inaugural 2026 Best Places for Aerospace & Defense Insights Report, which analyzes the most competitive U.S. metropolitan areas for investment in this strategic industry.

Key Insights from the Report

According to the GLS report, Wichita, Kansas, has emerged as the leader among 387 U.S. metropolitan areas, receiving top rankings for its capacity to attract aerospace and defense investment. The report emphasizes a shift in the industry's focus from innovation to industrial readiness, highlighting the need for rapid manufacturing scaling, workforce development, and robust supply chains.

Didi Caldwell, Founder and President of GLS, elaborates, "For decades, aerospace and defense companies competed on technological superiority. Today, the competitive advantage is increasingly defined by industrial readiness. The regions that can build, hire, and scale manufacturing quickly will attract the next generation of investment."

Analyzing the Landscape

The report identifies several industry trends transforming the manufacturing landscape:

• - Doubling of Investments: Announced investments within the aerospace and defense sectors have surged, with project announcements tripling over the past two years.
• - Transitioning Focus: The industry is moving toward a model where operational readiness and supply chain resilience are prioritized over innovation, necessitating a reevaluation of investment locations.
• - Workforce Constraints: Labor shortages have become a critical barrier to growth, with the availability of skilled workers, especially in engineering and manufacturing roles, emerging as the primary challenge for the sector.

Employment Trends and Challenges

Despite the potential for growth, the aerospace and defense industry faces significant workforce challenges. Employment within the sector has increased by approximately 11% since 2021, far exceeding the overall manufacturing growth rate of 4%. Job postings for engineers and skilled trades nearly doubled between January 2025 and May 2026, underscoring the demand for talent. Alarmingly, nearly 76% of companies report that engineering positions are the hardest to fill.

With a considerable segment of the existing workforce being over the age of 55, the industry is at risk of facing a talent gap over the next decade. Additionally, reliance on a few suppliers for essential components poses a risk to production capabilities, indicating an urgent need to strengthen supply chain networks.

Traditional Hubs versus Emerging Markets

The report showcases that the leading aerospace and defense markets continue to benefit from established ecosystems, characterized by integrated workforces, supplier networks, and strong connections to federal defense programs. Seven of the top ten metropolitan areas have longstanding recognition as industry leaders, while new markets such as Ogden, Utah, and Huntsville, Alabama, are gaining traction due to their engineering capabilities and growing manufacturing bases.

Regional Insights and Opportunities

The GLS report uncovers geographical trends that could shape the industry's future:

• - Utah's Rising Status: Utah has notably become one of the fastest-growing manufacturing states, placing two municipalities in the top five nationally.
• - Southeastern and Southwestern Corridors: Regions such as North Carolina, Florida, and Alabama are emerging as key growth centers for aerospace and defense investments.
• - Diversifying Growth: Approximately 84 metropolitan areas attracted aerospace and defense projects from 2021 to 2025, a significant increase from previous periods, indicating that growth opportunities extend beyond traditional industrial hubs.

Conclusion

The 2026 Best Places for Aerospace & Defense Insights Report offers a comprehensive analysis of the factors influencing the aerospace and defense industry, highlighting the need for regional readiness, workforce development, and a focus on supply chain resilience. For those interested in reading the full report or assessing metro-level rankings, it is available at Global Location Strategies. As the sector continues its evolution, the regions best positioned for future growth are likely to emerge through their commitment to building strong, competitive industrial bases.

Global Location Strategies, founded in 2008, excels in helping companies navigate strategic location decisions that foster long-term success.