8/7/2006 - Mississippi Manufacturing Taking Off With Growth of Aerospace Industry

by Jay C. Moon, CEcD MMA President and CEO (The following article was published in the August 2006 issue of the Northeast Mississippi Business Journal.) While some predict the demise of manufacturing in Mississippi, the truth is that manufacturing is taking off. Aurora Flight Sciences. North American Eurocopter. Miltec. ATK Southern Composites. Recent announcements of new aerospace manufacturing facilities coming to northeast Mississippi and expansions of facilities already in the state signal Mississippi’s shift to compete for high-skill, high-paying jobs. Our state continues to gain recognition for its competitiveness in the global marketplace and its ability to attract large, international firms who want to invest and prosper here. The quality of our workforce, a favorable business climate and our quality of life are key elements in drawing businesses to the state. While we’re attracting firms in a number of industries such as steel, polymers and automotive, and while other industries such as those in the chemical, paper and petroleum are expanding their presence in the state, Mississippi is also carving out a niche in aerospace. With the many recently announced projects -- added to already established aerospace firms in the state such as Eaton, Boeing, L-3 Communications, Lockheed-Martin and Raytheon -- Mississippi continues to strengthen its manufacturing base and secure a position in the high-tech market. The growth of the state’s aerospace industry shows the state is making a historic transition to compete in a global economy. From military helicopters to unmanned aircraft to guided missile R&D to space vehicle components, Mississippi is rapidly establishing itself as a hub for aerospace manufacturing. Throughout the state, new or recently announced projects include Northrop Grumman’s unmanned aerial vehicle aircraft production in Moss Point, Rolls-Royce’s jet engine testing facility at the Stennis Space Center in Bay St. Louis and GE Aviation’s jet engine manufacturing facility at a yet-to-be-determined site in Mississippi. Most recently, Global Military Aircraft Systems announced plans to move its company headquarters to the state, bringing highly skilled engineering and technical jobs to Mississippi. Stennis Space Center is America’s largest rocket and engine test complex, and its high-performance computing capability ranks 10th worldwide. Stennis is now home to the NASA Shared Services Center, which consolidates common services performed agency-wide in the areas of financial management, human resources, procurement and information technology. These operations are supported by the academic and R&D programs within the Aerospace Engineering School at Mississippi State University, which has proven to be a greenhouse for homegrown aerospace companies. And our community and junior colleges provide specific skills training to prepare our people to succeed in these highly sought after jobs. In many cases, companies are working with educators to develop the labor pool needed in their operations. Currently, more than 2,900 Mississippians work in the aerospace industry -- more than 300 of those in northeast Mississippi. With the addition of jobs from new projects and facility expansions announced recently, the total number of aerospace jobs in the state will increase to more than 3,711, with nearly 700 in the northeast corner of the state. The growth of Mississippi’s aerospace manufacturing industry is important for many reasons. Changes in the global economy have made it easier for low-skill, low-wage jobs to move overseas, necessitating a shift in how we view manufacturing and the jobs we need to bring to the state. Mississippi has shown that it can compete for and attract higher-skill, higher-wage jobs such as those in the aerospace industry. A number of factors have contributed to the success of the aerospace industry in the state. On the state level, the Mississippi Legislature is to be commended for allocating the necessary funds for workforce training -- key to attracting and keeping high-tech manufacturers in the state. In 2005, legislation decreasing the unemployment tax burden of businesses also created a Workforce Training Enhancement Fund, which provides approximately $20 million a year for workforce training activities to supplement community and junior college workforce training dollars. In 2004, the Skills Training Tax Credit Program was created, providing tax benefits for companies that work with their local community and junior colleges to educate their employees. Legislation enacting what The Wall Street Journal called the most comprehensive tort reform legislation in the country and providing incentives for new and existing businesses have contributed to a favorable business climate that encourages manufacturers to invest in Mississippi. Our congressional delegation have worked hard on our behalf to bring several defense contractors to the state. Local officials have worked together as well as with area developers and institutions of higher learning to bring together desirable components for firms considering a location in Mississippi and those firms already here who have expanded their operations in our state. The Mississippi Manufacturers Association is an unrelenting advocate in support of manufacturing in the state. Working with our state’s manufacturers, elected officials, educators and others, we will continue our efforts to improve Mississippi’s business climate and develop our workforce so that high-paying, high skilled jobs continue to come to the state.

Back to Articles