Giant step for the Swedish defense company, Saab, as it plans to open a munitions production facility in Grayling, Michigan. The announcement of this expansion was made on Tuesday, with groundbreaking activities slated before year-end. Aimed at supplementing the final assembly and integration of shoulder-fired munitions and precision fire systems, the manufacturing work at the facility is set to commence by early 2026 as stated by the company.
Emphasizing Saab’s commitment to the U.S. defense industrial base as well as the local community, Erik Smith, president and CEO of Saab in the U.S. confirmed the company’s intention to create jobs and make substantial investments in the community of Grayling – the selected site for the facility.
Detailing the reasoning behind the choice of location, Smith specified that the site in Michigan provided an efficient way to carry out their operations. The 388-acre plot conveniently situated near the country’s largest Army National Guard training base boasts of a workforce experienced in the required production type.
The new installation is part of a strategic global manufacturing campaign by the company aiming to amplify its worldwide capacity to produce ground combat weapons fourfold. The facility is set to offer employment to a minimum of 70 people, with opportunities to further increase this count as operations advance. Smith also hinted at the site extension potential to include an engineering capacity, highlighting their present predilection towards harnessing manufacturing capacity.
In addition to manufacturing, the facility could potentially house an innovation center aimed at improving munitions production capacity in the country. This is seen as a supporting mechanism for the production of components for the Ground-Launched Small Diameter Bomb, or GLSDB, system and close combat weapons.
The state of Michigan has a rich history of supporting the defense industry with multiple defense manufacturers already present. The forthcoming Saab facility adds to the state’s legacy of arms production. Commenting on this development, Michigan Governor Gretchen Whitmer stated, “We built the arsenal of democracy to win WWII and will keep rolling up our sleeves to protect our national defense”, further reinforcing Michigan’s commitment to national defense and advanced manufacturing.
Saab’s new installation in Michigan will be its tenth in the U.S. Other locations cover a range of industrial focus areas with facilities in West Lafayette, Indiana for aerospace advanced manufacturing; Syracuse, New York, for radar and sensor systems; and Cranston, Rhode Island, and Quincy, Massachusetts for autonomous and undersea systems.
Smith compared the Grayling facility’s operational model to Saab’s West Lafayette site where fuselages were initially built in Sweden before transferring production to the highly-technologically equipped Indiana plant during its low-level initial operation.
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