Pennsylvania Shipbuilding & Manufacturing Growth

by Mark Thompson

Rhoads Industries’ $100 Million Expansion to Bolster Pennsylvania Shipbuilding & Create 450+ Jobs

Pennsylvania is poised to strengthen its position as a key hub for naval defense and advanced manufacturing, thanks to a significant investment by Rhoads Industries. The company will invest nearly $100 million to expand its manufacturing operations at the Philadelphia Navy Yard, a project expected to generate at least 450 new jobs and retain 541 existing positions.

Revitalizing Philadelphia’s Naval Legacy

The expansion will center around the construction of a new 95,000-square-foot manufacturing facility, designed to increase production capacity for the U.S. Navy’s Maritime Industrial Base, specifically supporting its submarine program. “Shipbuilding has always been a key part of Philadelphia’s identity and our economy,” stated Governor Josh Shapiro, “and today, I’m proud to announce that Rhoads Industries is investing $100 million and creating over 450 new jobs at the Navy Yard.”

The Commonwealth of Pennsylvania is contributing significantly to the project, with a new $4 million investment supplementing over $17 million in funding provided over the past decade. This support will enable Rhoads to double its capacity for the U.S. Navy’s submarine program and reinforce national security interests. As Governor Shapiro emphasized, “The future of shipbuilding runs through Philadelphia – and just like generations before us, it’s Pennsylvania workers who will build what keeps our nation safe.”

Strategic Funding & Tax Incentives

Rhoads Industries has secured a $4 million Redevelopment Assistance Capital Program (RACP) grant from the Pennsylvania Department of Community and Economic Development (DCED). The company also benefits from its location within a Keystone Opportunity Zone (KOZ), providing substantial tax savings. These incentives underscore Pennsylvania’s commitment to fostering a favorable business environment for critical industries.

A Commitment to Workforce Development

Beyond the immediate job creation, Rhoads Industries is dedicated to cultivating a skilled workforce through its robust apprenticeship program. The company offers a paid, three-year state-accredited program that prepares high school technical education graduates for careers within the submarine industrial base. In partnership with Boilermakers Local 19, the program ensures apprentices meet stringent military specification requirements upon graduation.

The Shapiro Administration has prioritized career and technical education (CTE), increasing funding by nearly $65 million since taking office. This investment has resulted in the creation of 155 new pre-apprenticeships and registered apprenticeships, training over 33,000 Pennsylvanians in vital fields like welding, manufacturing, and transportation, and enrolling an additional 3,000 students in CTE programs statewide. “Throughout the last two years that I’ve been at Rhoads Industries, I’ve been offered so many amazing experiences,” shared a welding apprentice at Rhoads Industries, “It’s taught me that every weld you put down represents who you are as a welder and what your workmanship looks like – and it takes a lot of pride to represent the industry the way it deserves.”

Expanding Pennsylvania’s Economic Momentum

The Rhoads Industries expansion is part of a broader trend of economic growth within the Philadelphia Navy Yard, now home to over 150 employers and 15,000 jobs. “We’re celebrating the success of an outstanding company with Philadelphia roots that are nearly 130 years deep,” said Greg Deavens, Board Chair of The Chamber of Commerce for Greater Philadelphia. “It’s a remarkable commitment by Rhoads Industries, and it’s another example of the Shapiro Administration’s proactive and successful approach to supporting major projects that boost local economies and create new jobs.”

In May, Governor Shapiro and Secretary Siger highlighted a $30 million investment through the PA SITES (Pennsylvania Strategic Investments to Enhance Sites) program, aimed at developing the Philadelphia Navy Yard Greenway District into a 54-acre hub for advanced manufacturing, life sciences, and commercial use.

Bronkhorst High-Tech Fuels Lehigh Valley Growth

Further demonstrating Pennsylvania’s economic vitality, Bronkhorst High-Tech, a Dutch company, recently celebrated the opening of a new, expanded facility in the Lehigh Valley. The company’s relocation to Hanover Township, Northampton County, will add assembly capabilities to serve customers across North and South America. Bronkhorst USA produces instruments for measuring and controlling pressure and flow, and the new facility includes space for a cleanroom serving the semiconductor industry.

“Bronkhorst’s decision to invest more in the Lehigh Valley illustrates the potential that our region holds for international businesses,” noted Kristin Cahayla-Hoffman, Vice President of Business Development and Attraction at Lehigh Valley Economic Development Corporation (LVEDC). The Lehigh Valley is increasingly attracting international companies, boasting over 100 foreign-owned businesses, including U.S. headquarters for Olympus Corporation of the Americas (Japan) and B. Braun Medical (Germany).

The new Bronkhorst USA facility is more than double the size of its previous location and will significantly expand the company’s workforce. “It’s a really significant commitment to the U.S. market by Bronkhorst,” commented the company’s General Manager. “I’m excited to have assembly operations in the U.S. and continue our growth and to create additional jobs here in the Lehigh Valley.”

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