Global Defense Manufacturer Saab Plans a $75 Million Investment in Grayling
GRAYLING: Swedish aerospace and defense manufacturer, Saab Inc., has announced plans to invest $75 million in an advanced munitions integration and assembly facility in Grayling Township.
Expected Job Creation and Economic Impact
The state-of-the-art manufacturing project will bring 69 much-needed jobs to Crawford County, located approximately 160 miles northeast of Grand Rapids. Beginning wages for these positions are expected to be $23 per hour plus benefits, significantly higher than the regional median wage of $18.62 per hour, potentially rising to $50 per hour over time.
Details of the Project
The new assembly plant will be utilized for “final assembly and integration of shoulder-fired munitions and precision fire systems”. The Michigan Strategic Fund board has expressed their support with a $3.5 million performance-based grant plus a 15-year State Essential Services Assessment tax exemption for this initiative. This major project is the first investment Saab has made within Michigan state, affirming their commitment to investing in the local community and the defense industry.
The Future of Grayling and Saab
Grayling has also been chosen to host Saab’s Land Systems Division as Saab continues to grow and invest between $75-120 million in the region, with prospects of creating up to 200 jobs. Saab’s general manager, Brad Bernard, commented that the “cultural fit” of the region and its rich concentration of relevant skills made Grayling an appealing choice. The company’s investment plans also include a projected growth to create up to 200 jobs, making Grayling a major hub for Saab’s operations.
With limited operations expected to begin in the first quarter of 2026, Saab is set to start construction on the site in April 2025. Commenting on the upcoming project, Erik Smith, President and CEO of Saab in the U.S, highlighted their commitment to “the U.S defense industrial base” and their endeavours to play a “positive role in the communities where we live and work”.
Partnership Opportunities
With the upcoming facilities, there is potential for numerous partnership opportunities, particularly with Michigan National Guard’s Camp Grayling due to the property’s proximity. Saab has signalled interest to connect with the National Guard to explore cooperative testing of products and training personnel required by the U.S Defense Department. To set the plans in motion, the Michigan Department of Natural Resources (DNR) is expected to issue a public notice later this year to sell the land earmarked for the manufacturing plant site.
Final Remarks
Indeed, Saab’s investment represents a major boost for Michigan’s defense and aerospace sectors, and it’s a clear testament to Michigan’s potential as a global manufacturing hub. With Saab’s commitment to the land and its people, the arrival of the manufacturing plant underlines the positive economic impact on the region and promises a brighter future for the local community of Grayling, Michigan.
