BAE Systems has announced a USD 135 million investment to upgrade facilities in Austin, Texas and Hudson, New Hampshire, with the company stating the work will strengthen the US defence industrial base and accelerate delivery of systems supporting American military readiness, according to the company.

The investment, funded entirely through BAE Systems’ own capital, will be split between two sites that play distinct roles in the firm’s Electronic Systems business. Around $85 million will go to the Hudson campus in New Hampshire, where 65,000 square feet of workspace will be modernised and reconfigured. The site is used for the design, development, and testing of advanced capabilities, and BAE Systems said the renovation is intended to optimise workflow and support future requirements from US and allied customers.

In Austin, a $50 million manufacturing overhaul will expand factory infrastructure to meet what the company described as evolving defence requirements for affordable precision munitions. According to BAE Systems, the upgraded site will support end-to-end operations, accelerate innovation, and enable consistent production output.

“This investment in capacity underscores BAE Systems’ long-term commitment to equipping U.S. warfighters with the capabilities they need, when they need them,” said Dave Harrold, vice president and general manager of Countermeasure & Electromagnetic Attack Solutions at BAE Systems, quoted in the press release. “We’re building for the future, delivering at speed and scale, and enabling the capabilities required to deter aggression.”

BAE Systems said the industrial and manufacturing enhancements will support mission-critical programmes for the US Department of War, the name adopted by the former Department of Defense, as well as aerospace work. The company added that the investment will create new engineering and skilled manufacturing jobs at both locations.

The Hudson site sits within BAE Systems’ Electronic Systems sector, which produces electronic warfare equipment, countermeasures, and electromagnetic attack systems used across US fixed and rotary-wing platforms.