Utah · Business News

Baxter Aerospace announces $19.55 million manufacturing expansion in southern Utah

Baxter Aerospace is set to invest $19.55 million and add 90 jobs under a state tax incentive agreement in Washington County.

October 9, 2026 · The Grid news desk

The Utah Governor’s Office of Economic Development awarded a post-performance tax reduction to Baxter Aerospace, Inc. to support the company's expansion in Washington County. The incentive was granted under the state's Rural Economic Development Tax Increment Financing program.

As part of the five-year agreement, Baxter Aerospace plans to invest $19,550,000 and create 90 jobs in the region. The expansion involves leasing and outfitting a manufacturing facility situated in Washington City. State projections estimate the project will generate $20,758,160 in wages and $1,523,131 in new state tax revenue over the five-year duration, qualifying the firm for a 30% state tax credit.

According to the state economic office, the new site is designed to transition aerospace programs from prototyping into full production. The operation will support work in defense, satellite communications, autonomous aircraft, fusion energy, space, and public safety. Company and local officials stated that the investment will expand domestic manufacturing capacity and provide technical career opportunities within the southern Utah region.

Sources

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