920242016

$1.3Tr Order Backlog*

*

>12,000 aircraft orders on the books

years of aircraft demand

BACKLOG

Aerospace

Manufacturing

Attractiveness

Index*

*

State

Rank

StrengthsWhat are Michigan’s aerospace strengths?

MI M

ain

ten

an

ce

, R

ep

air, a

nd

Ov

erh

au

l

11 universities with aerospace

departments or programs

U of M – Top-ranked aerospace

engineering program

Western Michigan – offers degrees in

aviation science, administration,

maintenance and technology

Michigan State - #1 Logistics and

Supply Chain Management school in

the nation

Education

Average wage for aerospace

occupations is more than $10

less than the national average

Number of aerospace engineers

has increased by more than 17%

since 2009

Skilled

Workforce

Michigan ranks #1 in the

concentration of engineers

and R&D professionals in the

nation

More than 200K skilled trades

workers – 8th in the nation

#1 concentration of industrial

designers – nearly 5K – more

that any other state

Skilled

Workforce

“Beginning in the mid-1970’s, five Detroit area

companies started to expand their core competencies in the automotive industry

to service the aerospace industry.

That business has grown from zero to over $1.5 billion in the last 40 years . . .

Michigan is now the largest

hub for aircraft tooling and equipment supply in the world.”

- Robert Reno, Group Vice President KUKA Systems Aerospace Group

Lake

Hu

ron

Nearby highway access

Wurtsmith

Automotive

DNA

Innovation

DNA

EngineeringDesign

Talent

Manufacturing

Innovation

DNA

EngineeringDesign

Talent

Manufacturingpivot

OpportunitiesWhat are Michigan’s aerospace opportunities?

MaterialsComponents & Assemblies

Major Subsystems

Airframer Lessor1 OperatorMRO (Parts,

Repair, Service)

Suppliers

15-25% 10-15%5-20% 5-10% TBD 0-5% High

*

Commercial Aircraft Market Value Chain*

1 Depending on operator, lessors may or may not be a part of the value chain

examples

Why Michigan?All of the above, and . . .

Top 10 pro-business state

Top 10 most competitive

states for business (#1 in the

Great Lakes Region)

Top 10 in the number of new

corporate projects and

expansion

Competitive tax structure

24th Right-to-work state

Superior Business Climate

50% of the U.S. and Canadian

population and GDP within 500

miles

Busiest border crossing in North

America

New international bridge

19 commercial airports; non-stop

service to 160 global destinations

Access to 15 major international

shipping ports

Protected from major climate

events by Great Lakes

geography

Location: Business continuity

Suppliers are nearby

No supply chain disruption

B2B

Michigan’s Aerospace Ecosystem

Education R&D Manufacturing MRO

Live, work, play

Thank You