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From 1931 to 1984, Fairchild Aircraft was based in Hagerstown, Maryland and was by far the area's most prominent employer. The importance of the company to the city and the country as a whole earned Hagerstown its former nickname "Home of the Flying Boxcar."

Fairchild moved to Hagerstown from Farmingdale, New York in 1931 after Sherman Fairchild purchased a majority stock interest in Kreider-Reisner Aircraft Company of Hagerstown in 1929. Among Fairchild's products during World War II were PT-19/PT-23/PT-26 (Cornell) and AT-21 trainers, C-82 "Packet" cargo planes and missiles. At its height in World War II, Fairchild employed directly and indirectly up to 80% of Hagerstown's workforce or roughly 10,000 people.

In the postwar era, Fairchild continued to produce aircraft in Hagerstown such as C-123 Provider, Fairchild F-27 and Fairchild Hiller FH-227, FH-1100, C-26 Metroliner, UC-26 Metroliner, Fairchild Republic A-10 Thunderbolt II, and the T-46 jet trainer.
Passenger terminal at Hagerstown Regional Airport-Richard A. Henson Field.

All production ceased in Hagerstown in 1984 and the company moved elsewhere. Presently, the company is based in San Antonio, Texas and after a series of mergers and acquisitions, is known as M7 Aerospace.

The Hagerstown Aviation Museum shows many of these original aircraft. Among the ones on display are: 1939 F24/UC-61C, 1945 C-82A, 1943 PT-19A, and the 1953 C-119.[9] The museum is located near Hagerstown Regional Airport in the airport's former terminal.

Hagerstown is also the birthplace of Salisbury, Maryland-based Piedmont Airlines which started out as Henson Aviation. It was founded by Richard A. Henson in 1931. Today, Hagerstown Regional Airport-Richard A. Henson Field is named as such in honor of the airlines' founder.

Today, only small to medium-sized aviation companies remain in the area. Three notable names include Northrop Grumman California Microwaves, which manufactures airline equipment in its Hagerstown facility, Fugro EarthData, which maintains its aviation division in Hagerstown, and Sierra Nevada Corporation, a defense electronics engineering and manufacturing contractor.