Kongsberg Defence & Aerospace Inc., a global provider of defense and aerospace systems, will invest $71 million to establish a 150,000-square-foot facility in James City County. The company will invest an additional $30 million in other costs, including engineering and software. Virginia successfully competed with two other states for the project, which will create more than 180 new jobs.
“The decision to choose James City County, Virginia, was heavily influenced by the continuous availability of well-trained and highly skilled workers coming from the various military installations in the region,” said President and General Manager of Kongsberg Defence and Aerospace, Inc., the U.S. subsidiary of KONGSBERG Heather Armentrout. “That combined with the livability of the area and the tremendous support offered by the Virginia Economic Development Partnership, the Hampton Roads Alliance and the James City County Economic Development Agency, made it clear that this is where we need to be.”
“Following our productive meetings in Europe, Kongsberg’s decision to establish its first U.S. defense assembly facility in Virginia reaffirms our status as America’s top state for business,” said Governor Glenn Youngkin. “Not only will this investment create more than 180 new jobs, but it will also showcase our strategic location to attract global leaders in defense industries. We are proud to welcome them to the Commonwealth and look forward to supporting their growth.”
Founded in 1814, Kongsberg Defence & Aerospace is the defense and aerospace division of the KONGSBERG Group, an international technology company that supplies high-technology systems and solutions to customers in the merchant marine, defense, aerospace, offshore industries, and renewable energy sectors. The new facility in James City County will provide additional production capacity, sustainment and in-country tech refresh capabilities for two state-of-the-art cruise missiles being procured by the Department of Defense. The U.S. Navy is procuring Naval Strike Missiles for littoral combat ships and the new Constellation-class frigate. The Marine Corps is using the same missile as a key sea denial element in their Future Force Design plans. The U.S. Air Force is procuring Joint Strike Missiles for their F-35 fighters as it is the only operational strike weapon capable of internal carriage, which preserves their stealth signature during missions. This is KONGSBERG’s first production facility in the U.S. and it will expand domestic suppliers, building capacity and redundancy for these critical capabilities worldwide.
The Virginia Economic Development Partnership (VEDP) worked with James City County and the Hampton Roads Economic Development Alliance to secure the project for Virginia. Governor Youngkin approved a $1.5 million grant from the Commonwealth’s Opportunity Fund to assist James City County with the project. The Governor also approved a performance-based grant of $750,000 from the Virginia Investment Performance Grant, an incentive that encourages continued capital investment by existing Virginia companies.
“When it comes to the business of defense, Hampton Roads is America’s military metro,” said Hampton Roads Alliance President & CEO Doug Smith. “With over one-third of our local economy supporting the defense sector and 18 military installations located in the region, Hampton Roads is one of the most significant defense ecosystems in the world. There is no question Kongsberg Defence & Aerospace chose the right location for its newest U.S. facility in James City County. We look forward to supporting their success in Hampton Roads and Virginia.”
Support for Kongsberg Defence & Aerospace Inc.’s job creation will be provided through the Virginia Talent Accelerator Program, a workforce initiative created by VEDP in collaboration with the Virginia Community College System and other higher education partners, with funding support from the Governor’s administration and the Virginia General Assembly. Launched in 2019, the program accelerates new facility start-ups through the direct delivery of recruitment and training services that are fully customized to a company’s unique products, processes, equipment, standards, and culture. All program services are provided at no cost to qualified new and expanding companies as an incentive for job creation.
