Oklahoma: A Leading Center for Aerospace and Defense
Published: Thursday, October 23, 2025 By: Lauren King![]()
Oklahoma has positioned itself as one of the nation’s most active aerospace and defense hubs. The state blends long-standing capabilities with a climate that supports innovation, workforce development and business growth.
Aerospace and defense are now Oklahoma’s second-largest industry, generating nearly $44 billion in annual economic activity. The industry supports a workforce exceeding 120,000 Oklahomans, and exporting to over 180 countries, the sector is the state’s second largest industry and one of its fastest growing.
At the core of this sector is deep infrastructure. The state is home to the two largest MRO facilities in the world—American Airlines’ Maintenance and Engineering Center in Tulsa, and the Oklahoma City Air Logistics Complex at Tinker Air Force Base, the U.S. Department of Defense’s largest depot.
Complementing these anchors, The FAA’s Mike Monroney Aeronautical Center, located in OKC, houses both the FAA Logistics Center and the FAA Academy, a primary site for training air traffic controllers.
These anchor institutions are supported by more than 1,100 aerospace and defense entities, including major firms such as Boeing, Northrop Grumman and Lockheed Martin, as well as startups working in unmanned systems, air mobility and space technologies.
Defense capability also runs deep. Oklahoma is home to three U.S. Air Force bases and the Fires Center of Excellence at Fort Sill, integrating the state into national military readiness infrastructure. Oklahoma also hosts the Oklahoma Air & Space Port near Burns Flat, one of only 14 FAA-licensed spaceports in the country. It features a 13,503-foot runway, a large industrial airpark and a 150-mile spaceflight corridor. Paired with droneports, unmanned aerial systems (UAS) ranges, and the National Weather Center, the state offers a full testing and development environment from lower atmosphere to edge of space.
Oklahoma also delivers a strong business case. The state ranks fifth-best in corporate tax climate and is recognized as having the lowest overall cost of doing business in the U.S. Over 82 targeted incentives help firms expand, including an Aerospace Industry Engineer Workforce Tax Credit to attract and retain skilled talent. Oklahoma’s Strategic Sourcing Program via the Oklahoma Manufacturing Alliance supports local supply chains by connecting companies and certified suppliers.
Momentum is accelerating. In 2024, about $150 million in new capital investment flowed into Oklahoma’s aerospace and defense sector. Roughly 25 new or expanding projects were announced, projected to create nearly 1,000 jobs statewide. Among them, Kratos Defense & Security is building an advanced manufacturing facility in Bristow to scale jet engine production, and Dawn Aerospace plans to begin reusable spaceplane operations at the Oklahoma Air & Space Port by 2027. Near Fort Sill, Firehawk Aerospace is constructing a 40,000-square-foot facility for hybrid rocket motor production. In Pryor, CBC Global Ammunition is developing a $300 million munitions plant, strengthening the state’s growing defense manufacturing base.
The Greater OKC region illustrates this growth at the local level. The aerospace industry there now outputs $8.8 billion in goods and services, employs more than 45,500 workers, and yields an average annual wage of $87,000 in the sector.
This rising momentum places Oklahoma among a select set of global aerospace hubs—one of only seven globally. For OKC, the proximity to major federal assets, research institutions and high-quality infrastructure makes the region a strategic anchor for the state’s aerospace future.
As the global aerospace landscape evolves in areas like electric propulsion, autonomy and space transport, Oklahoma’s combination of legacy strength, cost advantage and strategic incentives positions the state to capture the next wave of industry growth.
For more information, visit okcommerce.gov/siteselection.
