Woodward to Build a 300,000-Square-Foot Manufacturing Facility for Aircraft Spoiler Actuation Systems in Spartanburg County, South Carolina

Rhea-AI Summary

Woodward (NASDAQ: WWD), a leader in energy control solutions, has announced plans to construct a 300,000-square-foot manufacturing facility in Greer, South Carolina. The facility, representing a $200 million investment, will produce servo-hydraulic actuation systems, primarily focusing on spoiler actuation for the Airbus A350.

Set to become operational in 2027, the facility will create 275 high-quality jobs across manufacturing, engineering, and business operations. The strategic location in Spartanburg County was chosen for its manufacturing infrastructure, skilled aerospace talent pool, and proximity to key suppliers. The project is supported by incentives from South Carolina state and local authorities.

Positive

• None.

Negative

• Significant capital expenditure of $200 million required
• Extended timeline with operations not starting until 2027

Insights

Aerospace Manufacturing Expert

Woodward's $200M facility investment secures Airbus contract, creates 275 jobs, and positions for aerospace growth beyond A350 program.

Woodward's $200 million investment in a 300,000-square-foot manufacturing facility in South Carolina represents a significant strategic expansion of its aerospace manufacturing capabilities. The facility, set to be operational by 2027, will primarily produce servo-hydraulic actuation systems for the Airbus A350 program—critical flight control components that manage lift and enhance aircraft performance and safety.

This development signals three important industrial achievements: First, Woodward has secured a major contract with Airbus, one of the world's two dominant commercial aircraft manufacturers, strengthening its position in the commercial aerospace supply chain. Second, the company is vertically integrating its manufacturing process, which should improve quality control and potentially increase margins over time. Third, by establishing a showcase facility with high automation and vertical integration, Woodward is applying manufacturing excellence methodologies refined during its LEAP and GTF engine programs.

The site selection in Spartanburg County leverages the region's established aerospace manufacturing ecosystem, skilled labor pool, and logistics infrastructure. This follows industry-wide trends of aerospace suppliers establishing manufacturing hubs in the Southeastern United States. While production won't begin until 2027 with gradual scaling thereafter, this investment positions Woodward to capture additional flight control system opportunities beyond the A350 program, potentially extending to other commercial aircraft manufacturers and applications. The 275 high-quality jobs created initially, with potential for expansion, will include advanced manufacturing roles that typically command premium wages in the aerospace sector.

Financial Analyst

Woodward's $200M strategic investment secures Airbus contract and enhances long-term revenue visibility while creating shareholder value.

Woodward's $200 million investment to build a dedicated manufacturing facility represents a significant capital allocation decision that strengthens the company's aerospace segment. This strategic move secures Woodward's position as a supplier to Airbus for the A350 program, which provides enhanced long-term revenue visibility in the commercial aerospace sector. The investment in a vertically integrated, highly automated facility aligns with aerospace industry trends toward more efficient production systems that can deliver precision components at scale.

From a financial perspective, this capital expenditure will impact short-term free cash flow but positions Woodward for improved long-term margins and return on invested capital. The focus on servo-hydraulic actuation systems—high-value aerospace components—should support favorable product mix and potentially higher margin profiles once the facility reaches optimal production levels after 2027. The facility's expansion potential beyond the initial A350 program creates additional growth optionality and diversification within the aerospace segment.

The selection of South Carolina likely offers financial advantages through the "competitive incentive package" mentioned, which typically includes tax abatements and infrastructure support that improve the overall return metrics on this investment. CEO Chip Blankenship's explicit mention of "creating value for shareholders" signals this move as part of a disciplined capital allocation strategy rather than merely capacity expansion. The gradual scaling approach to production and hiring demonstrates prudent financial management, allowing the company to match investment with market demand while maintaining financial flexibility.

FORT COLLINS, Colo., Sept. 16, 2025 (GLOBE NEWSWIRE) -- Woodward, Inc. (NASDAQ: WWD), a global leader in energy control solutions for aerospace and industrial markets, announced today its plans to build a precision manufacturing facility in Greer, South Carolina, in Spartanburg County. The new site is a strategic investment for the company. The site is expected to become operational in 2027 and will progressively scale production and hiring in subsequent years to meet market demand.

The 300,000-square-foot facility will focus on production of servo-hydraulic actuation systems, which are critical components used in aircraft flight control. Initially, most of the factory's capacity will be dedicated to producing spoiler actuation for the Airbus A350. These critical control systems are mounted on the upper surface of aircraft wings and play a vital role in managing lift and enhancing flight performance and safety. The site has potential to expand capacity as the company meets growing demand for its aerospace technologies.

The facility is expected to create approximately 275 high-quality jobs in manufacturing, engineering, and business operations, with potential for significant workforce expansion in the future.

"The selection of Woodward to supply Airbus with spoiler actuation systems and our investment in South Carolina represent a major milestone for Woodward and our commitment to delivering leading controls solutions to our customers and creating value for our shareholders," said Chip Blankenship, Chairman and CEO of Woodward, Inc. "It will be a showcase manufacturing site, much like our Rock Cut campus, vertically integrated, highly automated, and built on the capabilities and methodologies in operational excellence we’ve developed through our LEAP and GTF aircraft engine programs.

“Beyond supporting the Airbus A350, this facility positions us to extend our hydraulic flight control design and industrialization expertise to additional applications as well as other commercial aircraft manufacturers. We're proud to bring jobs and economic opportunity to Spartanburg County as we fulfill our purpose to design and deliver energy control solutions our partners count on to power a clean future."

The company will invest nearly $200 million in the development of the site. After an extensive nationwide search, Woodward selected Spartanburg County for its robust manufacturing infrastructure, access to highly skilled aerospace talent, and proximity to key suppliers. The investment is supported by a competitive incentive package from the State of South Carolina, Spartanburg County, and local economic development organizations.

“When global companies like Woodward, Inc. decide to invest in our state, it further solidifies South Carolina’s impressive reputation in the manufacturing industry. We look forward to creating a long-standing partnership with the company and seeing the strong impact of these approximately 275 new jobs in Spartanburg County,” said Henry McMaster, Governor of South Carolina.

About Woodward, Inc.
Woodward is the global leader in the design, manufacture, and service of energy conversion and control solutions for the aerospace and industrial equipment markets. Our purpose is to design and deliver energy control solutions our partners count on to power a clean future. Our innovative fluid, combustion, electrical, propulsion and motion control systems perform in some of the world’s harshest environments. Woodward is a global company headquartered in Fort Collins, Colorado, USA. Visit our website at www.woodward.com

Notice Regarding Forward-Looking Statements

Statements in this release contain forward-looking statements that involve risks and uncertainties, including regarding our anticipated new manufacturing facility in South Carolina, our investment related thereto, the suitability of the location, and the ultimate success of the facility, including its impact on Woodward’s business and the local community, as well as statements regarding our business and our expectations related to it. Factors that could cause actual results and the timing of certain events to differ materially from the forward-looking statements include, but are not limited to, the risks associated with the construction and opening of a new manufacturing facility, customer demand for our products and our ability to meet that demand, and our success in cultivating a stable workforce in the local area. Actual results could differ materially from projections or any other forward-looking statements, and we have no obligation to update our forward-looking statements, except as required by law. Factors that could affect performance and could cause actual results to differ materially from projections and forward-looking statements are described in Woodward's Annual Report on Form 10-K for the year ended September 30, 2024, and any subsequently filed Quarterly Reports on Form 10-Q.

Media contact:
Jennifer Regina
Jennifer.regina@woodward.com
+1 970-559-8840

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/14a472fd-7489-4db6-b124-b8d0bf45c7af

FAQ

What is Woodward's (WWD) new manufacturing facility investment in South Carolina?

Woodward is investing $200 million to build a 300,000-square-foot manufacturing facility in Spartanburg County, South Carolina, focused on producing aircraft spoiler actuation systems.

How many jobs will Woodward's (WWD) new South Carolina facility create?

The new facility will create 275 high-quality jobs in manufacturing, engineering, and business operations, with potential for future workforce expansion.

When will Woodward's (WWD) new South Carolina manufacturing facility begin operations?

The facility is expected to become operational in 2027 and will progressively scale production and hiring in subsequent years.

What products will Woodward (WWD) manufacture at the new South Carolina facility?

The facility will primarily produce servo-hydraulic actuation systems for aircraft flight control, with initial focus on spoiler actuation for the Airbus A350.

Why did Woodward (WWD) choose Spartanburg County for its new facility?

Woodward selected Spartanburg County for its robust manufacturing infrastructure, access to skilled aerospace talent, and proximity to key suppliers, along with competitive state and local incentives.