
BAE Systems’ plant in Sealy, Texas faces a very real and frightening threat of closure based on the U.S. Army’s recent decision not to renew a contract for the Family of Medium Tactical Vehicles (FMTV) manufactured at the Sealy plant since 1992.
The Army recently announced a new contact with Oshkosh Corporation in place of a renewed contract with BAE Systems and the 3,000 experienced Texas workers currently manufacturing the FMTV. BAE is protesting the contract decision, citing a faulty bid process. You can learn more here.
Through 17 years of production experience on the FMTV, BAE has incorporated supply chain and manufacturing efficiencies that lower the production turn-around time without compromising quality: the vehicles produced by BAE Systems earn the Army’s “ultra reliable” descriptor.
The presence of BAE Systems in Sealy creates a ripple effect of manufacturing activity and job growth that extends beyond the estimated $500 million that FMTV production contributes to the Texas economy. The Sealy plant lies at the heart of the strong and growing Texas-Mexico Automotive Supercluster (TMASC) region, where nine global consumer, industrial, and military vehicle producers and over 200 parts suppliers manufacture almost 900,000 vehicles per year and employ over 151,000 workers. BAE Systems is one of the anchor original equipment manufacturers (OEMs) in this cluster; losing the Sealy plant would have a detrimental effect on other manufacturers who rely on common suppliers and economies of scale for competitive pricing.
Saving the Sealy plant would obviously and directly benefit the thousands of hard working Texans who have assembled these vehicles with pride for almost two decades. But the Sealy plant is also extremely important to vehicle manufacturers and suppliers across the TMASC region that face negative “ripple effects” if this contract decision stands.
Please do your part for Texas workers and our region by contacting military and congressional leaders through DefendTexasJobs.org.
Image Credits: Defense Industry Daily and GlobalSecurity.org