Raytheon Contributes $2.6 Billion to State Economy
05 Jan 2020 by BizDESIGN in Aerospace & Defense, WINTER 2020
By Elena Acoba
Raytheon Company, whose missile systems business is based in Tucson, wields a $2.6 billion annual economic impact in Arizona, according to an Arizona State University study.
ASU’s Seidman Institute analyzed Raytheon’s contributions to the state in terms of wages, taxes, suppliers and other key indicators.
The institute, the consultancy arm of the university’s W.P. Carey School of Business, found that Raytheon’s annual impact in the state has grown by over $500 million in the last three years – fueled by increased sales, new hiring and added infrastructure.
That infrastructure includes six new buildings dedicated in 2018, including an advanced testing facility, a multi-purpose building and a customer access center.
The company also has completed infrastructure upgrades, engineering and manufacturing enhancements and high-powered computing capabilities. Customer demand is driving additional Raytheon investments and improvements in manufacturing, engineering technology and facilities infrastructure.
“Raytheon’s continued growth in Arizona is having a substantial, positive effect around the state,” said Wes Kremer, president of Raytheon Missile Systems. “With nearly 13,000 employees now working in Arizona and a strong, statewide network of more than 500 suppliers, the company provides a significant boost to Arizona’s economy.”
Not only does Raytheon directly impact the state’s economy, it’s a driver for further development, especially Pima County’s efforts to attract businesses to the Aerospace, Defense & Technology Research and Business Park south of Raytheon.
“This park is being developed to address the increasing need for supply chain locations for the aerospace industry,” according to county marketing information.
One of Tucson’s largest employers, Raytheon recently hired more than 2,000 new workers and has plans to add more over the next three years.
The company recognizes the need for top talent and is investing in statewide programs aimed at providing science, technology, engineering and math (STEM) skills training and education.
Arizona Gov. Doug Ducey called Raytheon one of the state’s most valuable asset. “This high-tech powerhouse is a major jobs creator, and its products help to defend freedom around the globe,” said Ducey. “Arizona will continue to foster a pro-growth tax and regulatory environment that allows Raytheon to thrive in our state for years to come.”
Beyond its impact on the economy, Raytheon is a generous partner in the communities where its employees live. They volunteer thousands of hours each year tutoring students and supporting military veterans and their families.