The Spokane region is primed to become a more attractive destination for startups and expanding companies in the aerospace and aviation field, industry advocates here say.
Improved transportation capabilities, increased Boeing Co. activity in the Puget Sound region, and the recent tech hub designation are among the factors contributing to the optimism.
“The outlook for Spokane is pretty positive,” says Mark Norton, executive director of the Northwest I-90 Manufacturing Alliance and principal of Norton Strategic Consulting LLC. “We’ve been slowly building this aerospace supply chain around here and adding more capabilities. You have the transload facility now that’s ready to go out by the airport.”
The Rail-Truck Transload Facility, located at 3911 S. Craig Road, was completed in 2022 and connects to the Geiger Spur rail line. The facility enables the transport of large structures like aircraft fuselages between truck and rail, Norton says.
The transload project included almost 1.7 miles of new track alignment, five turnouts, and roughly 180,000 square feet of concrete circulation space for freight trucks.
“That opens up the possibility of a really major aero-structures company locating here in Spokane,” says Norton.
A few major aerospace companies have expressed interest, but he declines to identify them, he says.
Dean Cameron, owner and publisher of Spokane-based Northwest Aerospace News Magazine, says the work that has taken place on the West Plains to cultivate an ecosystem that is supportive of advanced manufacturing practices has made the region more attractive to new and existing aerospace companies.
“We have an international airport. We have a good transportation system," Cameron says. "There’s some really good efforts being put forth by S3R3.”
S3R3 Solutions is the West Plains public development authority that encompasses a 9,500-acre area surrounding the Spokane International Airport.
Increased aerospace and aviation activity on the West Side also has the potential to attract new or expanding companies to the Spokane region, Norton says.
Boeing announced plans last year to add a fourth 737 Max production line in Everett, Washington.
The new 737 Max line of airplanes will use more advanced composite materials, which is what the tech hub here will be focused on once it's established, Norton says.
“That could mean that Boeing would be looking at this area for doing a lot of development work for composites, which would mean that there’s potential for an aerospace company, a tier-one supplier, to set up shop here,” he says.
Tier-one suppliers are responsible for assembling significant aircraft sections, such as lavatories, seating systems, and cockpit aviation systems, according to a 2023 report created by the Washington state Department of Commerce, Washington state Department of Transportation, and Norton Strategic Consulting. Tier-one companies often sell these aircraft sections directly to original equipment manufacturers like Boeing.
Advanced composite technology allows for lighter and bigger parts, Norton says. In commercial aerospace, lighter parts impact fuel consumption, which plays a huge part in operating costs, he says.
In October, a proposed advanced aerospace manufacturing center in Spokane received a federal designation as a “regional technology and innovation hub,” or tech hub. As reported previously by the Journal, the 386,000-square-foot former Triumph Composite Systems Inc. building at 1415 S. Flint, in west Spokane, eventually will be transformed into the American Aerospace Materials Manufacturing Center.
The application deadline for the second phase of tech hub funding is Feb. 29. If selected, Spokane's aerospace project would receive up to $70 million in funding, which would accelerate the process of establishing the tech hub, Norton says.
“Once (the tech hub) is established, then it’s going to create a demand,” says Cameron. “I anticipate that we are going to see increased startups, we’re going to see increased growth in the manufacturing companies that are here in the Inland Northwest today.”
Boeing was one of the major aerospace companies to provide a letter of support for the original tech hub application.
The city of Spokane also will continue to provide support for the development of the tech hub, says Spokane Mayor Lisa Brown, who was involved with the application process during her time as director of Commerce.
“The city plans to be a very active partner as we move forward in both further federal investments but also recruitment of the companies and the workforce development initiatives,” Brown says.
The tech hub designation and having the former Triumph site ready to go will help attract new or expanding companies, she says.
“The city will help by designating a tech hub overlay zone, which will help with any remaining permitting or regulatory issues that arise,” says Brown.
When companies are looking to expand or relocate, identifying a site and meeting infrastructure, broadband, utilities, power, and wastewater requirements can take a lot of time, Brown explains.
“We’re basically doing all of that in advance with the site on the West Plains,” she says. “That’s what will make us more competitive.”
The optimism surrounding the Spokane region’s aerospace and aviation ecosystem, however, is contrary to the direction the state of Washington as a whole has been moving, says Norton.
According to the 2023 report created by Commerce, WSDOT, and Norton Strategic Consulting, rankings show that the Puget Sound region, which was once considered the premier location for aerospace manufacturing, has fallen from the top spot to seventh place.
Norton attributes part of that to the high cost of living in the Puget Sound region, as well as other states being easier and cheaper to do business in.
Workforce development is another key factor in attracting companies to the Spokane region, Norton says.
“Without a good workforce development system, you’re going to have a hard time getting businesses to come here,” Norton says.
Cameron agrees that growing the aerospace manufacturing workforce is vital. In recent years, there have been conversations about the aging workforce in the industry and how as older workers are retiring, there aren’t enough young workers entering the workforce to fill the void.
“It’s really about the communication,” Cameron says. “Manufacturing in the past has had an incorrect imagery; it’s dirty, it’s low-tech. But that’s the opposite. It’s clean, it’s very progressive, and there’s huge opportunities for people wanting to get into the manufacturing workplace.”
In January 2023, Cameron launched a magazine aimed at middle school students called Let’s Go Aerospace! One of the goals of that publication is to get more young people interested in careers in the aerospace industry.
“That goes hand in hand with startup companies,” Cameron says.
Cameron also points to a partnership between Spokane manufacturer Wagstaff Inc., the Inland Northwest Aerospace Consortium, and East Valley School District that landed a $200,000 grant to improve East Valley High School’s shop facilities. The upgraded facilities are intended to accelerate workforce development and generate more interest in manufacturing and the trades, the Journal previously reported.