Engine maker Rolls-Royce announced on October 5 that it will invest $584 million to modernize its manufacturing operations in Indianapolis, the company’s largest investment in the U.S. in a decade. The five-year modernization plan includes a “major renovation” of existing facilities and upgraded manufacturing and assembly operations.
Indianapolis is Rolls-Royce’s largest site outside of the UK; it employs nearly 4,000 people at 12 locations. The company operates an advanced aerospace technology research and design unit in Indianapolis, known as LibertyWorks.
Engines designed, assembled and tested in Indianapolis include the AE2100 powerplant for the C-130J, the AE1107C of the V-22 Osprey, the AE3007H of the unmanned Global Hawk and its MQ-4C Triton maritime variant, and the LiftSystem of the F-35B Lightning II, as well as engines for commercial helicopters.
The investment is the British company’s largest in the U.S. since it acquired the former Allison Engine Co. for $525 million in 1995, Rolls-Royce said.
“Our new facility will be a state-of-the-art manufacturing center that combines modern production systems and machinery with a highly skilled workforce. This investment ensures that we can increase our competitiveness in the market, which will benefit both our customers and Rolls-Royce,” said Marion Blakey, Rolls-Royce North America president and CEO.
As part of the agreement to make the investment, Rolls-Royce will receive approximately $35 million in state and city incentives, including conditional tax credits and a skills enhancement grant through the Indiana Economic Development Corporation.