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BAE Systems to Build Colorado Facility, Backed by Credits

By Drooid · Oct 25, 2026, 11:17 PM UTC · How we work

Summary

Story summary

BAE Systems is expanding manufacturing in Colorado with a new 130,000-square-foot facility.
The company purchased the Weld County plant for $30 million and will retrofit it by 2026.
Production of space-based hardware and sensors is scheduled to begin in early 2028.
Colorado approved up to $11,184,835 in performance-based Job Growth Incentive Tax Credits.
Colorado granted up to $8.6 million in CHIPS refundable credits at 80%.

History

Historical Context

The 2009 American Recovery and Reinvestment Act (ARRA), enacted in February 2009, injected $787 billion into the U.S. economy, spurring manufacturing revitalization. Under ARRA, the Department of Defense allocated $8.5 billion for advanced aerospace projects, and Colorado received $12 million in state-level tax incentives for high-tech facilities. Today, BAE Systems purchases Weld County’s plant for $30 million, securing $11,184,835 Colorado Job Growth Incentive Tax Credits and $8.6 million CHIPS refundable credits for space-hardware production. This continuity suggests that federal and state incentive frameworks remain pivotal in expanding U.S. defense and semiconductor capabilities, shaping future industrial policy.

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Story summary

BAE Systems is expanding manufacturing in Colorado with a new 130,000-square-foot facility.
The company purchased the Weld County plant for $30 million and will retrofit it by 2026.
Production of space-based hardware and sensors is scheduled to begin in early 2028.
Colorado approved up to $11,184,835 in performance-based Job Growth Incentive Tax Credits.
Colorado granted up to $8.6 million in CHIPS refundable credits at 80%.

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