Michal Strnad's CSG launches US jet engine plant for drones

The Czech industrial holding CSG, led by Michal Strnad, has announced it will build a factory in the US state of Wisconsin for the serial production of jet engines for drones and unmanned systems. The project will be carried out by the new company Firecrest Aerospace — a joint venture between CSE USA and AviaNera Technologies, both part of the CSG group — with initial investment of up to $15 million.

The plant will be located in the city of Stevens Point and will produce turbojet and turbofan engines for unmanned aerial vehicles, precision-strike systems and next-generation loitering munitions. The first phase involves assembly, integration and testing of products for American customers, followed by a move to full-scale serial production with in-house engineering. While the company is currently talking about producing hundreds of propulsion units, it plans to be manufacturing several thousand engines a year once it reaches full capacity in 2027.

“Unmanned systems will fundamentally change the future of the defense industry and the face of modern military operations. That’s why CSG is building its own long-term capabilities — from propulsion systems to other key subsystems and serial-production capacity,” said Michal Strnad, CEO and chairman of the board of CSG. According to him, AviaNera confirms the group’s ambition to become a major international player in drone technology, and the Firecrest Aerospace project in Wisconsin is an important part of that strategy.

CSE USA CEO Paul Lemke called the investment an important step toward building a strong manufacturing base for advanced propulsion systems directly on US soil. The project will also include building infrastructure at Stevens Point Municipal Airport for engine integration, ground testing and flight validation.

The Wisconsin site will become part of AviaNera Technologies’ international network, which brings together research and production facilities in Serbia, India and the UAE, as well as a manufacturing reference center in Czechia. CSG’s strategy rests on the premise that the war in Ukraine has turned drones and unmanned systems into one of the key elements of modern combat, and Strnad’s holding is betting on controlling a significant share of the value chain — from propulsion systems to autonomous technologies and integration systems.

By the Around Prague newsroom