August has seen several new contracts issued to companies located in the heartland of the United States. These include hundreds of millions of dollars to upgrade facilities, create new jobs, and strengthen the defense industrial base (DIB).
Key Growth Areas in America’s Heartland
Ohio, “The Heart of it All,” is notable as 60% of the entire United States and Canadian population lives within a day’s drive or short flight. The state is increasingly becoming known as the “Silicon Heartland,” with major technology, manufacturing, and automotive investments driving its modern economy.
Its neighbor, and often rival, to the north is also experiencing a major boom in its defense business. Defense accounts for around $30 billion in annual economic impact, supporting more than 166,000 jobs across more than 4,000 businesses and suppliers.
Wisconsin may currently rank as the 30th in total U.S. defense contract spending, yet it also ranks as the most manufacturing-intensive state in the country per person. The manufacturing sector employs nearly 500,000 workers, of which 16,000 jobs are directly tied to defense. Badger State leaders are now seeking more federal defense money for local factories and to expand the military supply chain.
1. U.S. Energy Department Awarded $500 million to Modernize Cleveland-Cliffs Ohio Plant
This month, the Department of Energy announced it awarded $500 million toward a $1 billion overhaul of Cleveland-Cliffs’ Middletown Works plant in Middletown, OH.
The announcement was made as Vice President JD Vance and U.S. Energy Secretary Chris Wright visited the facility in the Buckeye State last Friday to highlight the Trump Administration’s commitment to American steelworkers and the resurgence of American manufacturing.
“President Trump is rebuilding America’s industrial base,” said Secretary Wright. “This investment puts American workers and American manufacturing first. It will modernize one of our nation’s critical steelmaking facilities, protect thousands of jobs, and strengthen our domestic steel production—keeping Ohio at the heart of American manufacturing and strengthening our national security.”
The investment will aid in modernizing the facility, which remains the largest flat-rolled steel producer in the United States. It produces steel used in the automotive, heating and cooling, appliance, and steel-distribution industries, and upgrading its main coal-fired ironmaking furnace and deploying AI will help strengthen the critical domestic supply chain and reduce America’s reliance on foreign products.
2. JobsOhio and REDI Cincinnati Adding 50 New Jobs
Last week, JobsOhio announced that along with REDI Cincinnati, it was partnering with L3Harris Technologies to add 50 new positions at its Cincinnati location in Southwest Ohio. The facility specializes in developing and producing advanced fusing and sensors for weapon systems.
The expansion is part of the company’s “scaling up” of operations and workforce to meet the U.S. military’s request for increased annual output in support of the Army, Navy, Air Force, and key defense contractors. L3Harris remains a key player in Ohio’s defense sector, employing around 1,500 individuals statewide.
“Our growth in Southwest Ohio accelerates our ability to deliver critical capability to the warfighter,” said Mark Mishler, director of Fuzing and Ordnance Systems and Missile Solutions at L3Harris. “Filling these new roles with the exceptional talent found in Ohio keeps our momentum going with rapid growth, rapid output, and a bright future ahead.”
L3Harris operates a 241,00-square-foot facility located on 105 acres. Its operations are focused on production, assembly, and on-site inspection and testing.
“Ohio’s Advanced Aerospace & Defense Super Sector is powered by companies like L3Harris that deliver solutions across the air, land, sea, space, and cyber domains to defend our country. That mission aligns with our goal of making Ohio the most veteran- and military-family friendly state in the nation,” said JobsOhio President and CEO J.P. Nauseef. “JobsOhio’s workforce initiatives can be a critical tool in advancing Ohio workers’ skills in these rapidly evolving fields, delivering the talent needed to keep L3Harris growing in Southwest Ohio.”
3. Expansion at General Dynamics Land Systems
Michigan Governor Gretchen Whitmer joined company leaders at General Dynamics Land Systems (GDLS) for the opening of the firm’s $35 million expansion at its headquarters in Sterling Heights on August 19. The multiyear project capped off a larger, long-term capital investment that exceeded $100 million at the campus since 2018.
The 105-acre campus now features 655,000 square feet across six buildings, with upgrades to meet higher U.S. security classification standards and consolidate teams previously split between Troy and Shelby Township into one collaborative workspace.
“We’ve got the engineering talent, the skilled trades talent. I think that this is an extension of who we are and what we’ve always done, which is advanced manufacturing,” said Governor Whitmer.
GDLS is developing the next generation of combat vehicles, including the XM30 Wolf, which is among the contenders to replace the aging M2 Bradley Infantry Fighting Vehicle.
4. Two of the Motor CITY’S Big Three Have Secured Contracts
In late June, the United States Army awarded firm-fixed-price agreements to GM Defense and the Ford Motor Company – along with Utah-based BC Customs – to build prototype heavy-duty tactical trucks under a new national security executive order that limits Chinese-sourced parts and materials.
Each company will deliver three Infantry Squad Vehicle-Heavy (ISV-H) six-seat prototypes. The companies will need to fast-track their efforts as the prototype deliveries are due by March 30, 2027, meaning that each was given just nine months to provide the required prototypes. Ford has confirmed that it will provide a variant of its F-Series pickup truck, while GM has suggested its offering will be a militarized variant of its Chevrolet HD 3500 truck.
5. Oshkosh Defense DLA Contract
Oshkosh Defense received a $19.49 million firm-fixed-price requirements contract, issued by the Defense Logistics Agency (DLA), for Joint Light Tactical Vehicle pneumatic wheel assemblies, with the work to be completed by August 2029.
This month, Secretary of War Pete Hegseth visited the Oshkosh Corporation in Oshkosh, WI, as part of his nationwide “Arsenal of Freedom” tour, where he emphasized a commercial-first procurement mindset, aimed at cutting red tape and establishing stable, long-term contracting for regional manufacturing bases.
