After receiving an extra $200 million in sustainment contract awards for the Navy’s last batches of F/A-18E/F Super Hornets, Boeing is shuttering its operation in the St. Louis area, where multiple “Air Dominance” programs are located.
The decision comes amidst the ongoing strike by the company’s defense technicians that have built the Super Hornet for years. Boeing was also recently awarded a $20 billion contract to develop the first sixth-generation fighter in world history.
The Super Hornet’s Sunset
As the US Navy continues to receive more Lockheed Martin F-35C Lightning II stealth fighters, and the F/A-XX program is expected to be funded for further development, the USN has opted to stop buying the venerable F/A-18. The final order was placed in 2024, valued as $1.1 billion, as USNI News reported.
The Boeing facilities that produce the Super Hornet were expected to be shut down in 2027 as the last jets rolled off the line. The Boeing Air Dominance division in St. Louis is expected to transition to producing more F-15EX Eagle II’s, T-7A Read Hawks, MQ-25 Stingray drones, and the forthcoming F-47 sixth-gen fighter.
The workers responsible for producing these marvels of modern defense technology are still on the picket line, as Boeing has not met the Union’s terms for fair compensation. Manufacturing Dive reported remarks by Tom Boelling, representative of International Association of Machinists and Aerospace Workers District 837:
“Unfortunately, Boeing chose to make this announcement while our skilled members remain on the picket line fighting for dignity, respect, and a fair contract. We stand ready to meet with Boeing anyplace, anytime. As we continue to say, the ball is in Boeing’s court.”
American Workers Stand The Line
The strike by IAM 837 has entered its ninth week. The most recent round of negotiations failed after workers said Boeing offered a lower incentive package than the previous round. The Union has agreed to resume talks next week with a federal mediator to include as well. The critical nature of the skills and abilities that these American craftsmen contribute to the defense industrial base of the United States is increasingly rare in 2025 and without them, the production lines will grind to a halt.
A very large number of jobs in the St. Louis area relies on the money spent by Boeing that largely comes from taxpayer funded government contracts. Boeing directly employs nearly 16,000 people and indirectly supports at least 34,000 jobs across the St. Louis area. The industrial colossus spends over $750 million distributed between 350 local suppliers, according to Greater St. Louis Inc. reporting.
Despite its juggernaut status in the aerospace industry, and American manufacturing in general, Boeing seems to be in a constant state of crisis for the last decade. Evidenced by the 737 MAX disasters that killed 346 flyers and aircrew, or the 777X and Air Force One programs that are nearly a decade behind schedule.
After nearly being the first corporation in American history to be charged with a felony crime (737 MAX crashes), the company remains one of the top defense contractors of the US Armed Forces. The last several years have seen the Pentagon shell out around $20 billion every year for a variety of programs under the Boeing umbrella.
American Industrial Might Waning
American machinists play a critical role in the US defense industrial base, providing the skilled workforce necessary for manufacturing precision components vital to military equipment. A significant shortage of these workers poses a national security risk, as the demand for skills in the defense sector grows. CNC machinists are particularly crucial due to their ability to produce reliable parts that meet stringent tolerances, handle complex geometries, and support rapid prototyping essential for military advancements.
The skilled labor crisis is exacerbated by an aging workforce, as experienced machinists are retiring faster than they can be replaced, leading to a collective loss of expertise. Companies struggle to find qualified younger workers, influencing their capability to fulfill defense contracts and leading to an increased reliance on foreign manufacturing. Modernization gaps in technology further contribute to the skill shortage, requiring workers adept at advanced manufacturing processes like multi-axis CNC machining and robotics.