Avio USA to Invest $500 Million in Virginia, Creating Over 1,500 Jobs
Richmond, VA – Avio USA Inc., a subsidiary of the Italian aerospace company Avio S.p.A., will invest approximately $500 million to establish a new 860,000 square-foot manufacturing facility in Hurt, Virginia, Pittsylvania County officials announced on Tuesday.
Manufacturing of Critical Defense Technologies
The facility will produce solid rocket motors for defense, tactical propulsion, missile systems, and the commercial space sectors. This investment represents the second-largest economic development deal in Southside Virginia history, surpassed only by a $1.3 billion investment by Microporous in 2024 according to Cardinal News.
Economic Impact and Job Creation
The project is expected to create over 1,500 new jobs in Southside Virginia. Wages at the facility will average approximately $81,400 annually, significantly higher than Pittsylvania County’s average wage of around $49,000 as reported by Cardinal News. Several hundred employees are anticipated to be hired by 2028, with the remaining positions filled in subsequent years.
Government and Company Statements
“Avio USA’s historic investment in Pittsylvania County represents a major win for Southern Virginia, for the Commonwealth, and for our national security,” said Governor Abigail Spanberger. “By investing more than $500 million in Pittsylvania County, Avio USA will create over 1,000 high-quality jobs and revitalize domestic production of critical defense technologies.”
Secretary of Commerce and Trade Carrie Chenery highlighted Pittsylvania County’s prepared sites, skilled workforce, and strong regional partnerships as key factors in securing the investment.
VADM (Ret.) James Syring, CEO of Avio USA, expressed gratitude for the partnership with the Commonwealth of Virginia and Pittsylvania County, stating the investment expands the company’s manufacturing footprint and supports the Department of War’s efforts to increase missile production.
Company Background and Recent Developments
Avio, founded in 1912 and based in Colleferro, Italy, designs, manufactures, and maintains commercial and military propulsion systems as detailed in Cardinal News. Avio USA was established in Arlington in 2022 to focus on the North American market and has operated under a Special Security Agreement with the Department of Defense since 2024 according to the release.
Financial Incentives
The project will benefit from approximately $97.7 million in public incentives as reported by the Virginia Economic Development Partnership. Analysts at Equita and Banca Akros have raised Avio’s target price following the announcement of the favorable news.