Governor Hochul and Senator Schumer Mark Completion of $65 Million Expansion of Next-Generation Battery Innovation Company BAE Systems in the Southern Tier

Governor Kathy Hochul today marked the completion of BAE Systems' first phase of expansion project in the Southern Tier. The company is investing $65 million to expand operations in the Village of Endicott, Broome County. The company added a total of 150,000 square feet to its existing site to make way for the addition of a new battery production line, engineering lab space, and new office space. As a result of the expansion, the company has committed to creating up to 134 good-paying jobs onsite. BAE Systems is a global defense, aerospace and security company with approximately 93,500 employees worldwide. The BAE Systems' facility in Endicott designs develops and produces a broad portfolio of safety-critical electronic systems from flight and engine controls to power and energy management systems for both commercial and military air and land applications including flight controls, engine controls, mission systems and power and propulsion solutions. The company has been operational at the Huron Campus site since 2011.

"BAE Systems' decision to further expand its business represents yet another win for New York State and for the Southern Tier, which is laser focused on becoming a global hub for next-generation battery innovation efforts," Governor Hochul said. "Since taking office, I have remained committed to bringing jobs back to Upstate New York. This incredibly successful company chose to grow its operations here, spurring top-quality, good-paying job creation in the region because they have seen firsthand how hardworking New Yorkers are."

The project involves the expansion of BAE Systems' battery production line, including the purchase and installation of machinery and equipment to efficiently produce an energy storage system for electric/hybrid electric aircraft and ground vehicles. The updated facility will include an automated state-of-the-art production line, an engineering lab and an aftermarket center when all phases are complete.

Empire State Development is assisting with the project with up to $8.5 million in performance-based Excelsior Jobs Tax Credit Program in exchange for the job creation commitments. Broome County is also providing assistance for the project.

BAE Systems Controls and Avionics Solutions Vice President and General Manager Jack Stevens said, "This facility expansion reinforces our commitment to the Southern Tier and builds on New York State's vision to create a regional hub for battery innovation. With this investment, we will enhance our capabilities to address the emerging needs of the next-generation hybrid/electric aircraft."

Bolstering Next-Generation Battery Innovation

Governor Hochul and US Senate Minority Leader Chuck Schumer were instrumental in the company's decision having worked closely with company officials to ensure that the project would move ahead in New York's Southern Tier region which is laser-focused on supporting next-generation energy efforts - a top priority for the governor and senator.

In January 2024, the Governor and Senator announced that the U.S. National Science Foundation had designated the New Energy New York (NENY) Storage Engine as a Regional Innovation Engine (NSF Engine), which was created by the Senator's bipartisan CHIPS & Science Law. The NENY Storage Engine, anchored at Binghamton University in the Southern Tier Region, will receive up to $15 million in federal funding for two years and up to $160 million over 10 years to establish a hub that will accelerate innovation, technology translation and the creation of a skilled workforce to grow the capacity of the domestic battery industry. Through Empire State Development, New York State will match up to 20 percent for the first five years of the project as well as provide support through established programs. The NENY Storage Engine was chosen for its diverse, cross-sector coalition that will build a leading ecosystem driving battery technology innovation, workforce development and manufacturing to support U.S. national security and global competitiveness.

U.S. Senator Chuck Schumer said, "Today's exciting expansion of BAE Systems is a significant milestone for the Southern Tier as we celebrate BAE Systems adding another loop on America's battery belt. This $65 million, 130-job expansion will bring to life a new battery production line, research lab, and office space. BAE Systems has a world class workforce making the finest electronic systems produced anywhere in the country. This new production line will help bring the battery supply chain back from overseas, supercharging the Southern Tier's leadership in battery manufacturing and building the future of the battery industry in Upstate NY. I've fought to secure tens of millions of dollars in investment to grow the battery industry in Upstate NY and will keep fighting to ensure the next breakthroughs in battery technology are made here in Upstate New York."

Empire State Development President, CEO & Commissioner Hope Knight said, "Governor Hochul's strategic support for next-generation clean energy companies continues to grow this dynamic industry's presence throughout New York State. BAE Systems' expansion in the Southern Tier is creating new jobs and new opportunities that further the region's role as a battery technology innovation leader."

New York State's Climate Agenda

New York State's climate agenda calls for an affordable and just transition to a clean energy economy that creates family-sustaining jobs, promotes economic growth through green investments, and directs a minimum of 35 percent of the benefits to disadvantaged communities. New York is advancing a suite of efforts to achieve an emissions-free economy by 2050, including in the energy, buildings, transportation and waste sectors.

New York State Energy Research and Development Authority President and CEO Doreen M. Harris said, "The completion of BAE Systems' expansion in the Southern Tier demonstrates how Governor Hochul's investments in advanced battery technology are strengthening local supply chains, creating jobs and driving economic growth. This milestone reinforces New York's leadership in innovation and complements NYSERDA's ongoing support for energy storage research, development and commercialization."

State Senator Lea Webb said, "The Southern Tier is ready to lead the nation in next-generation energy efforts and battery innovation. This project will boost battery manufacturing and create up to 134 good-paying jobs onsite in Endicott. I applaud BAE's Systems commitment to innovation and job creation here in Broome County."

Assemblymember Donna Lupardo said, "BAE's recent expansion is a valuable addition to our growing hub for battery innovation and manufacturing. Their new battery production line equipped for electric/hybrid bus and aircraft battery development further establishes our community as a leader in clean-energy technology and workforce development. Thank you to BAE for their continued investment in the Southern Tier, and to all of our government partners for their ongoing support of this important work."

Broome County Executive Jason Garnar said, "Anytime a company like BAE Systems keeps putting down deeper roots here in Broome County, that's something to be proud of. This kind of investment means more good-paying jobs for our community and keeps Broome County on the map as a place where the next generation of battery tech and manufacturing is really taking shape. We're grateful to Governor Hochul and Senator Schumer for helping make sure opportunities like this keep coming our way."

Village of Endicott Mayor Nick Burlingame said, "BAE Systems' continued investment in the Village of Endicott is a powerful affirmation of our community's strength and future. This expansion not only brings more than 130 good-paying jobs to our residents, but it also reinforces Endicott's role as a leader in next-generation energy innovation. We are proud of our partnership with BAE Systems and grateful to Governor Hochul and Senator Schumer for their support in advancing economic development across the Southern Tier. This project reflects the kind of forward-looking growth that honors our history while building a strong, sustainable future for generations to come."

For additional information about BAE Systems, visit: https://jobs.baesystems.com/global/en/.

Accelerating Southern Tier Soaring

Today's announcement complements "Southern Tier Soaring," the region's comprehensive strategy to generate robust economic growth and community development. The regionally designed plan focuses on attracting a talented workforce, growing business and driving next-generation innovation.

About Empire State Development

Empire State Development is New York's chief economic development agency, and promotes business growth, job creation, and greater economic opportunity throughout the state. With offices in each of the state's 10 regions, ESD oversees the Regional Economic Development Councils, supports broadband equity through the ConnectALL office, and is growing the workforce of tomorrow through the Office of Strategic Workforce Development. The agency engages with emerging and next generation industries like clean energy and semiconductor manufacturing looking to grow in New York State, operates a network of assistance centers to help small businesses grow and succeed, and promotes the state's world class tourism destinations through I LOVE NY. For more information, please visit esd.ny.gov, and connect with ESD on LinkedIn, Facebook and X, formerly known as Twitter.