Read CMTA’s round-up of manufacturing news from January 2026. The articles below don’t reflect the views of the manufacturing industry or CMTA. They are a collection of the latest industry news from this past month.
Latest Industry News
Lockheed Martin Invests $50M to Accelerate Unmanned Maritime Defense
CMTA board member company Lockheed Martin is investing $50 million in Saildrone, a fellow CMTA Coolest Thing Made in California finalist, to rapidly expand unmanned surface vessel (USV) capabilities in California.
The collaboration combines Saildrone’s USVs with Lockheed Martin’s defense technology to deliver fleet-ready maritime solutions for reconnaissance, surveillance, and strike missions. This partnership underscores both companies’ commitment to innovation, readiness, and advancing naval capabilities at scale.
Read more from Lockheed Martin
Anduril Expands Long Beach Campus with $1B Investment
Anduril Industries, a defense drone and technology company, plans to build a second campus in Long Beach, CA, focused on research and development. The $1 billion expansion will support 5,500 jobs across six buildings with over 1 million square feet of office and industrial space, strengthening the company’s industrial production capacity in Southern California.
Caterpillar and NVIDIA Partner to Transform Heavy Equipment with AI
CMTA member company Caterpillar Inc. is partnering with NVIDIA to integrate physical AI and robotics into heavy equipment, aiming to improve safety, efficiency, and productivity. This collaboration will leverage advanced AI technologies to enhance autonomous operations and predictive maintenance in the construction and mining industries. The partnership underscores Caterpillar’s commitment to innovation and adopting cutting-edge technologies to support the future of smart, connected machinery.
Read more from Caterpillar Inc.
Northrop Grumman Advances F-35 Production with 1,500th Center Fuselage
Northrop Grumman, a CMTA board member company, has delivered its 1,500th F-35 Lightning II center fuselage from Palmdale, CA. Its state-of-the-art assembly line builds each fuselage in just over a day and handles all three F-35 variants on a single line. Using augmented and virtual reality, the team has sped up assembly and made learning the process faster than ever.
Read more from Northrop Grumman
California Biomass Plant to Power Carbon-Negative AI Factory
A CMTA associate member company, CEG Solutions, is partnering with NewYork GreenCloud to transform the idled Buena Vista Biomass Power facility in Ione, CA, into a 41-MW carbon-negative AI factory. The project will use pyrolysis technology to convert woody biomass into renewable energy for on-site AI operations, with a lower carbon footprint.
Manufacturing Industry Policy
Congress Targets California Recycling Rules
Congress is reviewing a bill that would create a single federal standard for recyclability and composability claims, overriding California’s stricter rules. Packaging and plastics industry groups support the move, saying it reduces uncertainty for manufacturers, while critics warn it could weaken waste reduction efforts. The outcome could reshape how products are labeled and sold nationwide.
California Considers Restrictions on AI-Enabled Toys
California lawmakers are weighing legislation that would place a temporary moratorium on the sale and manufacturing of AI-powered toys designed for children, citing concerns around safety, privacy, and content standards. If enacted, the proposal could directly impact how toy manufacturers design, develop, and bring AI-enabled products to market while regulators evaluate appropriate safeguards.