Anduril wins $210 million tax break

Baltimore County Council voted unanimously Monday night to grant Anduril Industries a tax credit.

The measure allows the California-based defense firm to skip personal property taxes on equipment at its new site. Over 30 years, this break could save the company up to $210 million.

The credit is one piece of a nearly $500 million subsidy package. The total includes funds from both county and state governments. The money supports a planned $3.7 billion facility at Tradepoint Atlantic.

Anduril intends to build a 2 million square foot plant there. The factory will produce submarine parts for the U.S. Navy. Officials say the project will create more than 3,100 permanent jobs.

Council members passed the bill with little debate. The package had been in the works for nearly a month. County Executive Kathy Klausmeier attended the vote. She joined members in applauding after the bill passed.

Councilman David Marks called the move a necessary step to secure the investment. "Baltimore County’s responsibility, like any level of government, is to lay the foundation for growth, and I think that’s what we’re doing today," he said. "I think this is the right decision, and look forward to seeing what the next few years will bring us."

Tucker Cavanagh, the county’s deputy administrative officer for economic and workforce development, framed the deal as a revival for southeast Baltimore County. The region has lost jobs and population since Bethlehem Steel’s Sparrows Point mill closed in 2012. Tradepoint Atlantic took over the land in 2014 and built it into a logistics hub.

Cavanagh called the project the latest step in transforming the area. "This legislation will position Baltimore County as a national leader for maritime manufacturing, attract investment and good-paying jobs, and revitalize an industry that honors our history and secures our future," he said at an Oct. 27 hearing.

Anduril, named for a sword in The Lord of the Rings, makes autonomous weapons systems. These include submarines, drones, and missiles that use artificial intelligence. Co-founder Palmer Luckey is a major donor to President Donald Trump. The company unveiled the factory plans last month during a presidential visit.

A few local residents urged the council to reject the credit. Alexandria Sweeney, a Baltimore resident, argued against using public money for a war tech firm. "Do not hand over $210 million of Baltimore County residents’ dollars to this AI war tech company. Keep war out of our economy," she told the council in October.

David Frash, Anduril’s director of state and local government relations, told lawmakers that multiple states competed for the project. "I cannot understate the national competitive search that we went on," Frash said at an Oct. 13 hearing. "There is not a piece of property or a shipyard that our team has not stepped foot on or met with. And ultimately, we chose Maryland and Baltimore County to do this work."

The state of Maryland is also providing support. Governor Wes Moore promised $75 million in the state budget over six years for construction and a worker training center. That funding requires approval from the Maryland General Assembly. The company expects to start construction this year, begin hiring in 2029, and open the facility in 2030.