Oklahoma Aerospace Set to Surpass Oil and Gas as Top Economic Driver

A new study highlights Oklahoma's aerospace and defense industry as a rising economic powerhouse, poised to surpass oil and gas as the state's top economic driver. The 2026 Aerospace and Defense Industry Economic Impact Study, released by the Oklahoma Department of Aerospace and Aeronautics, reveals a statewide economic impact of $52.5 billion, up from $43.7 billion in 2017. Employment in the sector has grown from 120,000 jobs in 2017 to 136,000 in 2026, with an additional 123,000 indirect and induced jobs generated through supplier and spin-off purchases.

Despite challenges such as the COVID-19 pandemic and the grounding of Boeing’s 737 Max planes, the industry has shown resilience and growth. Grayson Ardies, director of the Oklahoma Department of Aerospace and Aeronautics, noted that continued support from state and federal levels could accelerate this expansion. He predicted that aerospace and defense could overtake oil and gas as the state's top economic driver by the early 2030s.

The study, funded through the Federal Aviation Administration and the state, measured the impact of Oklahoma’s 107 public-use airports, five major military installations, Infinity One Spaceport at Burns Flat, and off-airport aerospace and defense companies. Key players like Tinker Air Force Base, the country’s third-largest Air Force Base in terms of employment, are driving this growth. Defense contractors such as Kratos Defense & Security Solutions and MyDefence are also expanding their operations in the state.

Oklahoma’s aerospace and defense sector is known for its maintenance, repair, and overhaul (MRO) operations, with Tinker Air Force Base hosting the largest MRO operation in the U.S. military and a significant civilian operation at the American Airlines complex in Tulsa. Ardies emphasized that this sector 'smooths out' the boom-and-bust cycle in Oklahoma, providing a more stable economic foundation compared to commodities like oil and gas.