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Thursday, Sep. 4, 2025

Is Arizona among the top 10 states for U.S. defense spending?

Tallulah Anne, Arizona Center for Investigative Reporting
yes

Arizona benefited from more than $17 billion in federal defense spending in Fiscal 2023, the most recent year for which Department of Defense data is available, ranking eighth among all states. That funding supported industries that employ thousands of Arizonans, such as aerospace technology, cybersecurity and advanced manufacturing.

Arizona is home to 20 military installations, including Luke Air Force Base, Davis-Monthan Air Force Base, Fort Huachuca and Marine Corps Air Station Yuma, which anchor the state’s defense economy. Major firms like Raytheon, Boeing and Lockheed Martin accounted for more than $14.5 billion in defense contracts in Fiscal 2023. 

For over a decade, Arizona has consistently ranked among the top 15 states for total defense spending. In Fiscal 2023 alone, it represented 3.3% of the state’s GDP and generated $2.3 billion in payroll. 

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