Download the Full Aerospace and Defense Industry Report
Value Proposition
Greater Phoenix is composed of many of the largest A&D companies in the world. The emerging commercial space sector validates the market for aerospace R&D.
Greater Phoenix is home to top company HQ’s like Honeywell Aerospace and AQST, and universities recognized globally for innovation.
Greater Phoenix is home to a highly specialized workforce with specialties in a variety of relevant fields. There are a variety of business operation types that equate to a flexible labor pool.
Greater Phoenix has over 1,900 graduates from relevant programs each year with more graduates in relevant college-level programs than competitor markets, including those with larger industry clusters
Major competitor markets are up to 25% more expensive than Greater Phoenix. The state offers a number of quality incentives to further decrease operating costs for those in the aerospace and defense industry.
Below are total numbers of non-distance program completions at Greater Phoenix colleges and universities for aerospace, industrial, computer & software engineering; geographical, atmospheric, physical & Earth sciences; military technology systems design & maintenance; and air transportation programs in 2018.
Nationally Recognized Programs in Aerospace and Defence
The Annual Business Operating Cost Analysis has been prepared using the following parameters as an estimate for A&D product development in competitor markets. Component and custom analyses to match your company’s operations can be provided upon request.
Assumptions
- $20,000,000 personal property investment
- 50,000 square foot Industrial Manufacturing, Lease
- Utilities (per month):
- Electricity: 40W, 10,00KWh
- Water/Wastewater: 3,000cf, 5/8 meter
- 150 jobs (Bureau of Labor Statistics equivalent occupations)
| Occupations | Employment |
| Aerospace Engineers | 63 |
| Software Developers, Applications | 25 |
| Software Developers, Systems Software | 13 |
| Computer Network Architects | 12 |
| Electrical Engineers | 12 |
| Mechanical Engineer | 12 |
| Computer Hardware Engineer | 8 |
| Computer Systems Analysts | 5 |
| Total | 150 |
Statutory Incentives
Even with the highly competitive tax environment in Greater Phoenix and Arizona, there are several tax incentives that can be utilized to mitigate operating costs. Some of the most relevant to the Aerospace and Defense industry are listed in the full downloadable report. Applicable incentives will depend on actual project parameters and varying program qualifications and requirements as determined by the Arizona Commerce Authority for each individual Aerospace and Defense companies in Phoenix.
Quality Jobs Tax Credit
Quality jobs provides tax credits to employers creating a minimum number of net new quality jobs and making a minimum capital investment in Arizona. The Quality Jobs Tax Credit offers up to $9,000 of Arizona income or premium tax credits over a three-year period for each net new quality job. The tax credit is equal to $3,000 per qualified employment position, employed for each full taxable year of continuous employment for three years. If the allowable tax credit exceeds the income or premium tax liability, any unused amount may be carried forward for up to five consecutive taxable years. Employers must cover 65% of employee health insurance premium costs. Additional program qualifications are listed below.
