Boeing Boosts 787 Production in South Carolina, Creating 500 Jobs
Friday, Dec 13, 2024 10:21 am ET
4min read Boeing has announced a significant investment of $1 billion to expand its 787 Dreamliner production facilities in South Carolina. This move aims to increase the production rate to 10 aircraft per month by 2026, creating 500 new jobs in the process. The expansion is a testament to Boeing's commitment to the region and its confidence in the growing demand for widebody aircraft.
The investment in South Carolina comes as Boeing seeks to ramp up production to meet increasing market demand. The aerospace giant has faced production challenges in recent years, including a nearly two-month strike at its Washington facilities. However, the company is now focused on ramping up production and generating needed cash to support its operations.
The expansion in South Carolina will not only create new jobs but also have a multiplier effect on the local economy. According to a study by the Richmond Fed, each promised job generated 2.6 other jobs within the Charleston Metro Area in the five years after the plant opened. This multiplier effect suggests that the new jobs could lead to an additional 1,300 indirect jobs in the region.
The aerospace industry has seen significant growth in South Carolina in recent years. Between 2010 and 2021, the state saw a 311% increase in aerospace jobs and a 10% increase in wages. The Boeing plant has played a significant role in this growth, exceeding its promised job creation by 2,200 jobs.
Boeing's investment in South Carolina also helps the company compete with its European rival, Airbus. Airbus has announced plans to increase its A350 production rate to 12 per month by 2028. By expanding in South Carolina, Boeing aims to match Airbus' production rate, ensuring it remains competitive in the widebody market.
The expansion in South Carolina is a win-win for both Boeing and the local economy. The company gains a more balanced production strategy between Everett, Washington, and South Carolina, while the region benefits from job creation and economic growth. As Boeing continues to invest in the region, it is likely to drive further wage growth and job creation in the Charleston area.
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