Current State of Tucson Manufacturing and Machining

Making The Most of Tucson’s Economic Momentum

It’s a good time to be a part of Tucson’s manufacturing sector.

As of August 2018, nonfarm employment in Tucson increased 2.6% year-over-year. This increase translates into approximately 9,800 jobs – almost 10% of which are in the manufacturing sector, according to the U.S. Bureau of Labor Statistics and the Arizona Office of Economic Opportunity. In fact, manufacturing-sector employment across Arizona is up by 5.3% – outpacing the U.S.’s 2.2% manufacturing growth. This is especially good news for Tucson manufacturing and machining companies supporting the local aerospace and defense industry.

Tucson machining and manufacturing will have access to a growing labor force that will help to drive expansion within Tucson’s largest economic sector: the aerospace and defense industry. According to a June article in Arizona’s Economy, Tucson job growth in 2018 will spur population growth of almost seven thousand people – a trend which is predicted to continue in 2019. This growing workforce presents an opportunity for Tucson manufacturers to realize business expansion plans that have possibly been postponed.

However, the current economy presents one additional, perhaps less often considered, opportunity for the Tucson manufacturing sector: workforce development.

For example, tuition reimbursement programs can be implemented to encourage machine shop employees to attend machine-tool technology courses at Pima Community College or to pursue STEM field degrees through the University of Arizona.

As a result of providing such programs, companies not only build a more educated workforce, they foster employee loyalty. In return, educated and loyal employees stay with a company longer and are more capable of meeting the demanding challenges common to the aerospace and defense industry – thus helping to support a company’s longevity during inevitable economic downturns.

Now is the time to seize Tucson’s current economic momentum to expand and educate. With the recent approval of the 2019 defense budget, government procurement spending looks to increase again. Moreover, local employment growth is on the rise to support demand, and provides local manufacturers with the opportunities to develop a strong, capable workforce.

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AGM Precision Machining is a division of AGM Container Controls, Inc. A leader in the manufacture and supply of moisture control products to the aerospace and defense industries since 1970. Located in Tucson, Arizona, AGM Container Controls, Inc. is an American owned and operated company and proud supplier to the U.S. military.