U.S. Heavy Manufacturers Boost Transport Buildouts, Eye Tariffs

Researched by Industrial Info Resources (Sugar Land, Texas)--The U.S. heavy-manufacturing sector is seeing stronger demand for transportation equipment and household machinery, but it is wrestling with how tariffs and trade wars could complicate the supply chains that keep it moving efficiently. Industrial Info is tracking nearly $7 billion worth of projects in the U.S. heavy-manufacturing sector that are set to begin construction in the third quarter, nearly half of which is attributed to aircraft-related projects.

Click on the image at right for a graph detailing the top 10 parent companies for projects in the U.S. heavy-manufacturing sector that are slated to kick off from July through September.

One aerospace manufacturer that recently made headlines is Beta Technologies (South Burlington, Vermont), which this week became the first U.S. company to land an all-electric aircraft at an airport in the New York-New Jersey region, according to Reuters. The electric conventional takeoff and landing (eCTOL) plane, named "ALIA CTOL," follows the development of Beta's electric vertical takeoff and landing (eVTOL) aircraft, the ALIA--250, both of which are made at the company's assembly plant in South Burlington, Vermont.

Beta is preparing for a $122 million expansion at the South Burlington plant, which is expected to expand production to as many as 400 electric aircraft per year. Subscribers to Industrial Info's Global Market Intelligence (GMI) Industrial Manufacturing Project and Plant databases can learn more from a detailed project report and plant profile.

Traditional aircraft developers with expansion projects in the pipeline include GKN Aerospace Transparency Systems (Birmingham, England), which is preparing for a $150 million expansion of its assembly plant in Garden Grove, California. GKN's multiple contracts with the U.S. military include major components for Black Hawk helicopters and a variety of fighter jets. Subscribers can learn more from a detailed project report and plant profile.

GKN announced about one year ago it would double production of its F-35 Lighting II canopies at Garden Grove, in response to growing demand for the fighter jet. More recently, however, the U.K.-based company has been trying to assess how U.S. President Donald Trump's 10% base rate tariff will affect its bottom line. Peter Dilnot, the chief executive officer of GKN, told reporters in April that the tariff could seriously disrupt the industry's supply lines, but that "overall, the demand levels and backlogs are strong," according to AIN Online.

U.S.-based transportation manufacturers also have expressed concerns about the tariffs. Uncertainty surrounding a potential trade war recently forced Bartlett Maritime Corporation (Cleveland, Ohio), which develops submarines for the U.S. military, to scale back plans to build a submarine dry dock in Lorain, Ohio. However, the company is preparing to begin construction in the coming quarter on an $80 million renovation of its shipyard depot in Lordstown, Ohio, to improve efficiency and expand storage space. Subscribers can learn more from a detailed project report and plant profile.

Manufacturers who develop everyday machinery also plan to update their factories, including two in Tennessee. AAON Incorporated (Tulsa, Oklahoma) is preparing for a revamp of its HVAC equipment plant in Memphis, largely to meet growing demand from the data-center market, while LG Corporation (Seoul, South Korea) hopes to begin an expansion of its washer and dryer manufacturing plant in Clarksville to boost its output of refrigerators and ovens. Subscribers can read detailed reports on the Memphis and Clarksville projects.

Subscribers to Industrial Info's GMI Project and Plant databases can click here for a full list of detailed reports for projects mentioned in this article, and click here for a full list of related plant profiles.

Subscribers can click here for a full list of projects in the U.S. heavy-manufacturing sector that are set to begin construction in the third quarter.

Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).