OPINION
The global automotive landscape is changing and fast. Let’s let the Chinese in based on our terms.
By Michael C. Randle
In the summer 2026 quarter, German automaker Volkswagen announced it will cut its model lineup by half and shed up to 100,000 existing jobs worldwide. At the same time, Chinese electric vehicle startup XPeng is in negotiations to purchase one of VW’s struggling assembly plants in Europe. Europe has long allowed Chinese automakers into its market, unlike the U.S. where there is essentially a ban on Chinese-built EVs imported into the U.S.
The fact that Chinese automakers are making bids on European automakers’ factories is a major boomerang issue. VW arrived in Shanghai in 1984, and led auto sales in China for 40 years. In fact, at one point, half of VW’s global profits came from China as those sales propped up the generous wages VW paid at its factories in its home country, Germany. Now, Volkswagen’s sales in China are down by a third since 2019.
To makes things worse, Chinese automakers blew past Japanese brand sales in the European Union earlier this year. In addition, Chinese vehicles are being snapped up in Africa and Latin America, two markets VW used to dominate.
But it is not just VW with a China problem. GM Shanghai, where the Buick brand somehow became very popular, has seen sales in China drop by 75 percent. I recall visiting China in 2010 and seeing Buicks, of all makes, all over the roads in Shanghai and Beijing.
As for Chinese sales in the U.S., the Trump administration’s ban on importing EVs and the 100-percent-plus import tariffs have closed that market for now. Then again, Detroit cannot do anything about competing with Chinese automakers anywhere else in the world where these tariffs don’t exist. So, the U.S. tariffs are simply a temporary barrier today for Chinese automakers in the world’s largest economy. At some point, those tariffs will most likely no longer exist. At some point, a Chinese automaker other than the Geely/Volvo joint venture will build a full-fledged plant in the U.S. In fact, in the summer, we heard on the street that one was making the rounds -- I assume in a preliminary site search -- in the Southern Auto Corridor.
As GM, VW and other automakers entered China decades ago, they are now reeling. Chinese competition in the world’s second largest economy is overwhelming, even when Chinese cars just 40 years ago hardly existed. Given that, why doesn’t the U.S. go to the Chinese model of state-owned manufactured cars built there and do it here, in America?
Decades ago, foreign automakers were required to enter joint venture arrangements and share technology with the Chinese to enter that market, the second largest economy in the world. The Chinese learned how to build cars from both European and American automakers. Then, when EVs began to dominate the Chinese market, automakers there became much better with the technology than European or North American automakers. While Europe and the U.S. taught the Chinese how to build combustible engine cars, it has come full circle, as China now is the leader in building electric vehicles.
Chinese automakers are superior today in all aspects of electric vehicle assembly. They are superior to American automakers in battery technology, automation, software and manufacturing methods for building EVs. So, just as the Chinese engaged in learning from American and European automakers beginning in 1984 with state-owned joint ventures, maybe we should do the same to learn how to make electric vehicles as well as the Chinese do.
Automakers like BYD and Xpen in China want access to the U.S. market. I think soon, we should recognize this and create our own technology transfer and ownership of Chinese car making here behind the tariff wall in the U.S.
GLOBAL
Data provider: Largest global investments made in first half of 2026 in a decade
According to Dealogic, in Q1 and Q2, there were approximately $3.2 trillion in global projects announced, a 45-percent jump from Q1 and Q2 2025. We have written about the struggles in deal generation in the first half of 2025, as only 119 projects meeting or exceeding SB&D’s thresholds of 200 jobs and/or $30 million in investment were announced in the South. That was a 34-year low. But the first half of 2026, the South captured 394 deals, the best six-month stretch in 34 years.
The recent massive global investments included 44 projects announced that were larger than $10 billion. Many experts have described the first half of this year as “a window of transformation” and a “once-in-a-generation opportunity” to create a transformational economy. In an article published by Business Standard, Matt McClure, a global co-head of investment banking at Goldman Sachs, said that “Now is really the time to try and do it,” as in “going for it,” especially in the A.I. sector. Bankers like McClure insist this expansion is different from previous booms, such as the dot-com era of the late 1990s and the EV expansion market from 2021 to 2024.
From the experts: Quotes about A.I. and its effect on the economy in the summer quarter of 2026
Artificial intelligence is the latest new thing. Going back 125 years, the latest new things included among other notable events.
The “Industrial Revolution.”
The invention of the automobile.
The advent of electricity nationwide.
The invention of the telephone, radio and television.
Post WWII economic boom.
The internet age of late 1990s to early 2000s.
Globalization.
Artificial intelligence.
So, welcome to the “newest thing.” Here are some quotes from The New York Times and other media properties as we advance in this new A.I. world.
“I don’t think A.I. has hit the labor market yet, and I don’t think it’s radically changed corporate productivity yet, either, but I think it is coming.” – Daniel Rock, Economist, University of Pennsylvania.
“There’s enough conversation around this that we certainly should, as a country, be talking about what sorts of policies make sense in a world where the way employment and careers work now changes a lot in the next two to five years.” – Robert Seamans, Economist, New York University.
“It was just a paradigm shift for me. And then I started thinking, ‘This is potentially an industrial revolution-scale event, if not more.”’ – Alex Imas, Economist, University of Chicago.
“I really don’t know anything a college student can bring to my team that Claude can’t do.” (One of the many A.I. platforms.). “If you can do your job locked in a closet with a computer, ultimately you’re going to be in trouble.” – Molly Kinder, Senior Fellow, the Brookings Institution.
“A.I. could eliminate 50 percent of entry-level white-collar jobs within years.” --Dario Amodei, Anthropic.
“You’re going to have a technological shock – how painful is it going to be?” – Martha Gimbel, Director, Yale University Budget Lab.
A.I. technology will render work “optional.” – Elon Musk, CEO, SpaceX, Tesla
“Over the next two to three years, 50 to 55 percent of jobs in the U.S. will be reshaped by A.I. For many employees, this will mean that they retain the same or a similar role but face radically new expectations for how they work and what they produce.” – The Boston Consulting Group.
“In the past, our social safety net was designed to help people over transitory shocks. This one might actually be a more permanent shock.” – Anton Korinek, Economist, University of Virginia.
“The Industrial Revolution took a century to reorder work. Electricity took a generation. The internet took a decade. A.I. may not even take a full business cycle.” -- Mark Vitner, SEDR’s resident economist and CEO and Chief Economist at Piedmont Crescent Capital
NATIONAL
At 61.5 percent, the labor force participation rate falls to lowest in 50 years, sans COVID years
We all know many of the barriers to workforce participation. Caring for family, lack of transportation, mental illness, addiction. . .there are many reasons why people who could work don’t, and why people who can’t work, well, those are the truly disabled. There is one thing that economic officials and politicos can do to improve workforce participation -- develop new avenues for child care. Many states have implemented child care programs. Even developers of industrial parks and office parks sell child care centers as perks, as do corporations. Then again, there is not much anyone can do when folks stop looking for a job. That is market-based. The only answer is to create more jobs.
The labor force participation rate measures the working age population of those employed and those looking for a job. That rate fell to 61.5 percent in June, the lowest since the COVID years, according to the Bureau of Labor Statistics (BLS). The lowest on record was in 2020 when it sank to 60.1 percent. Again, we were in the depths of the pandemic during that period. But if you take away the pandemic years when just about everyone had to work from home, June’s participation rate is the lowest since June 1976.
According to BLS, in June alone, the labor force dropped – rather plummeted – by 720,000 workers. Including the unemployed, that figure totaled 832,000 people in the U.S. Drops in participation can also be attributed to nearly zero immigration into the country and retiring baby boomers. Troubling though, according to the BLS, the largest drop in workforce participation came from those aged 25 to 54, which should be prime working years.
And it is not as if the job generation numbers are lighting up the board; just 57,000 jobs gained in June. And those 57,000 jobs in June and the 150,000 or so in May, are better job generating job months than in most of 2025. Again, the BLS reported that a whopping 720,000 people in the U.S. stopped looking for work in June 2026.
Foreign direct investment “boom” is just doing okay
During 2025, before and after his April 2, 2025 “Liberation Day,” which implemented tariffs not seen in 100 years in this country, President Trump predicted a foreign direct investment surge. With the steep tariffs on imports, he argued that foreign companies would be forced to site factories in the U.S. to avoid the tariffs. President Trump boasted that foreign investment would be in the trillions; $17 trillion in September 2025, and $18 trillion in December, or almost two-thirds of U.S. GDP. These new investments, he pointed out, would be coming from Europe, the Persian Gulf and Asia. Nothing could be further from the truth. In fact, China has all but stopped investment in the U.S. after setting an all-time record for investments in 2015. In 2025, according to the Bureau of Economic Analysis, the U.S. captured $232 billion in foreign investments; far from $1 trillion or, needless to say, $17 or $18 trillion (with a “T”).
Over the last five years, annual foreign direct investment has settled from its 2021 high of over $300 billion to anywhere between $218 billion in 2022, to $155 billion in 2024, to $232 billion in 2025. The best two years in foreign direct investment in the U.S. over the last dozen years were in 2015 and 2016, both years with over $400 billion in FDI. Those also remain the best two years in SB&D 100 history with 730 big buffalo deals in 2015, and 695 in 2016.
Top 10 regions for aerospace and defense manufacturing investments in the U.S.
In July, site consultant Didi Caldwell and her company Global Location Strategies published the “2026 Best Places for Aerospace & Defense Insights Report.”
The listing:
Wichita, Kan.
Ogden, Utah
Dayton, Ohio
Salt Lake City, Utah
Huntsville, Ala.
Palm Bay-Melbourne-Titusville, Fla.
Grand Rapids, Mich.
Phoenix, Ariz.
Dallas-Fort Worth, Texas
Indianapolis, Ind.
Source: Global Location Strategies
REGIONAL
Daimler Truck shifting operations from Oregon to the Carolinas
In the summer quarter, Daimler Truck North America announced it is shutting down its 84-year-old plant in Portland, Ore., and moving production to North Carolina and South Carolina. The German truck maker is consolidating assembly to larger plants in the Carolinas.
ALABAMA
Farnborough-driven deal lands in Huntsville
Huntsville-based Redwire kicked off the Farnborough Air Show in July in London by announcing a large expansion in the Rocket City. The manufacturer of drone systems and payloads through its Stalker line will make a major investment and create 150 jobs at the Huntsville Jetplex.
U.K. manufacturer adds second facility in Alabama
DPC Holdings, a manufacturer of superalloys and precision casting components used in the aerospace and energy industries, announced it is adding a second Alabama plant. The new facility in Auburn is a $50 million investment in the plant that will house 70 workers initially.
Epsilon Industries break ground on Tuscaloosa facility
Epsilon Industries celebrated the groundbreaking of a major expansion at its Tuscaloosa facility, marking a significant milestone in the company’s continued growth and long-term commitment to West Alabama. The expansion represents a capital investment of more than $15 million and will create 26 new, high-quality jobs.
ARKANSAS
Oobotic establishes production facility in rural Arkansas
Oobotic, an advanced manufacturing company, has established its first production facility in Melbourne, Ark. The company plans to invest approximately $6.5 million in the facility and create up to 70 jobs over the next four years. The company utilizes automated manufacturing processes to produce a variety of consumer products. The Melbourne facility will initially focus on the production of electronic products and other manufactured goods.
Furniture manufacturer picks Heber Springs, Ark.
James & James, a hardwood furniture maker, is placing a new plant in Heber Springs. The $9.4 million plant will house 47 workers.
DISTRICT OF COLUMBIA
D.C.-area firms capture $3.8 billion in venture capital in the last year
Artificial intelligence venture capital is flooding D.C., as local firms have seen $3.8 billion in funding over the past 12 months ending in June. The investments are bolstering the D.C. regional economy that includes the mega-market of Northern Virginia. As a result of federal government cuts over the last 18 months, the investments from the A.I. boom are a welcome addition to the D.C. area, which has struggled of late.
FLORIDA
NASA is running out of launch capacity at Kennedy Space Center
NASA officials said in the summer that Florida’s Kennedy Space Center needs a $1 billion upgrade to increase capacity, as SpaceX, Blue Origin and other commercial operators increase launch rates.
Relativity Space expands on Florida’s Space Coast
At the Farnborough Air Show in the U.K. in July, Relativity Space announced it will expand in Brevard County on Florida’s Space Coast. The manufacturing operation will create “thousands of jobs” with a “significant capital investment,” according to initial press releases. The agreement includes an MOU between Space Florida and the United Kingdom Space Agency (UKSA).
Aerospace firm breaks ground on new facility on Florida’s Space Coast
Extant Aerospace is expanding into a new 300,000-square-foot facility in Melbourne, Fla. The project will create 200 jobs.
Robotics and defense firm moves HQ to Tampa
Tesseract Ventures has moved its headquarters to Tampa and is setting itself up for a hiring push. The robot and defense firm serves the military, construction and agriculture industries.
French food and beverage maker to invest $100 million in Pasco County, Fla.
Monin, founded in 1912 in Bourges, France, manufacturers flavoring products used in beverages. The company is investing $100 million in a plant on 70 acres in Zephyrhills, Fla. The deal will create 100 new jobs.
GEORGIA
OpenAI plans $20 billion data center in Effingham County, Ga.
OpenAI announced in the summer it will build a data center campus near Savannah in Effingham County, Ga. Named “Project Camellia,” the campus would be the first that OpenAI is designing and building itself. Georgia Power is handling the power load for the $20 billion center with 3.2 gigawatts. OpenAI has committed to generating 1,000 megawatts and insists Georgia Power customers will not see rate increases because the company will pay for the full cost of electrical infrastructure and service.
Instant A.I. riches; instant employees
Insight Global, the staffing and consulting giant, is hiring more than 1,700 people in the Atlanta suburb of Dunwoody. In July, a company spokesperson said the new hires are to keep up with the surging demand for A.I. and other services. It is a good sign in that state of Georgia data shows that the business services sector has lost about 8,700 jobs in the last year.
Rain-X announces nice deal south of Atlanta
Memphis-based Highline Warren is investing $170 million in a new logistics operation in Henry County, Ga. The deal will create 160 jobs.
KENTUCKY
Anthropic signs $19 billion, 20-year lease for Kentucky data center
One of the largest data centers announced in the summer quarter came from the burgeoning A.I. firm Anthropic. The Justified Data Center campus in Hawesville, Ky., was formerly used as an aluminum processing site. The massive, gigawatt-scale campus is part of Anthropic’s $200 billion agreement with Google.
ADM to expand in Boone County, Ky.
ADM, a provider of innovative solutions from nature, is expanding its plant in Northern Kentucky. The manufacturer of coloring used in food and beverages is investing $16 million and creating 40 new jobs.
Residential construction supplier adding jobs in Kentucky
KOI Superior Walls has broken ground on a new plant in Boone County, Ky. The company makes precast concrete walls for residential construction. The factory will house 73 workers.
Another manufacturer cutting the ribbon on Louisville plant
ISCO Industries cut the ribbon on its new $12.75 million manufacturing facility in Louisville. The project is slated to create 50 new full-time jobs. The company manufactures polyethylene pipe products.
New distillery opens in Kentucky
Horse Soldier Bourbon opened its new distillery in Somerset, Ky. The deal represents a $200 million investment.
Manufacturer expands in Northern Kentucky
Zotefoams has cut the ribbon on its $13.8 million expansion of the company’s North American headquarters in Walton. This year also represents Zotefoams’ 25th anniversary of its operations in Northern Kentucky. The company’s foam materials are currently used by Boeing, Airbus and Nike, and since the company’s original expansion in 2015, the employee count has increased from 24 to 100.
LOUISIANA
Meta commits more than $50 billion for North Louisiana Project
Meta announced in the summer quarter it is committing more than $50 billion to its Richland Parish Data Center project, expanding the campus to nearly 10 million square feet and 5 gigawatts of IT capacity. Home to Hyperion, the company’s largest AI training cluster, the Northeast Louisiana facility will be the largest in Meta’s global fleet and one of the largest data centers ever built.
As demand for artificial intelligence continues to accelerate worldwide, the infrastructure powering it is expanding to meet growing demand. With this investment, Meta is establishing its Richland Parish Data Center as the cornerstone of its global infrastructure — positioning Louisiana at the center of the systems driving innovation, connectivity and economic growth. The project will support 7,500 construction jobs and over 1,000 operational jobs.
NPK to invest $40 million in Lafayette Parish
NPK Access Solutions LLC announced it will invest $40 million to expand its manufacturing operations in Lafayette Parish, where the company has spent decades producing recyclable composite matting products used in infrastructure projects across the country and around the world. The deal will create 38 jobs.
Quality Companies investing in Acadiana
Quality Companies LLC announced it will invest more than $7 million in a two-site expansion across Louisiana’s Acadiana region, including a new manufacturing facility in Jeanerette and expanded fabrication capabilities in Youngsville, La. The investment will strengthen the company’s fabrication and electrical assembly operations to meet growing demand from major industrial and energy projects across Louisiana. The two deals will create 125 new jobs.
Bio-Lab expands in Louisiana
Bio-Lab, a pool care product manufacturer, announced it will invest at least $8 million to expand its Calcasieu Parish manufacturing operations. The deal will create 64 jobs.
MISSISSIPPI
Huge deal announced in North Mississippi
Florida-based Jabil will open a new manufacturing facility in Marshall County, Miss. The global engineering, supply chain and manufacturing solutions provider plans to open a new production facility in Marshall County. The project represents a corporate investment of more than $119 million and will create approximately 2,200 jobs. Jabil’s new location — an existing 1.5 million-square-foot facility the company is purchasing and renovating — will support customers in the data center infrastructure market.
German cookie manufacturer to invest over $70 million in Mississippi
Griesson-de Beukelaer, a German manufacturer of cookies and snack products, is locating operations in Madison County, Miss. The project represents a corporate investment of more than $70.37 million and will create 30 new jobs.
Nice deal for Southaven, Miss.
SIP Manufacturing, a third-party beverage co-packer, is establishing operations in Southaven. The project represents a corporate investment of more than $100 million and will create 187 jobs.
Aluminum Dynamics to develop recycled aluminum slab center in Lowndes County, Miss.
Aluminum Dynamics, a recycled aluminum manufacturer, plans to develop a recycled aluminum slab center in Lowndes County. The project represents a corporate investment of more than $200 million and will create 100 new jobs.
Toyota parts supplier picks Tupelo region
Auto Parts Manufacturing Mississippi is expanding its operations in Lee County. The project represents a $53 million corporate investment and will create 28 jobs. APMM is one of the leading parts suppliers in North America for the Toyota Corolla, which is manufactured in Blue Springs. Started by Toyota Auto Body-Japan in 2007, the company began production in 2011, and specializes in metal stamping, injection molding, plastics and robotic welding.
NORTH CAROLINA
Startup JetZero breaks ground on massive aircraft plant in Greensboro, N.C.
California-based JetZero officially broke ground on its $4.7 billion plant at the Piedmont Triad International Airport in the summer. JetZero is developing a blended-wing passenger jet airliner called the Z4, which can seat up to 250 passengers. The futuristic design will enable airliners to be 30 percent more aerodynamic than the typical airliner today. The company expects to have 8,000 workers by 2027, and eventually over 14,000 to build the new airliners. JetZero has identified a potential source for two-thirds of the funding it needs from a U.S. Export-Import bank – up to $3.2 billion – for the $4.7 billion investment.
Duke investing billions in power projects in North Carolina
Duke Energy is investing tons of cash in new electric power infrastructure in Davidson and Davie Counties, N.C. Demand for electricity all over the South, but especially in North Carolina and Texas, is rising at unprecedented rates. Duke Energy is building two combined-cycle natural gas units in addition to upgrades in fuel storage and reliability facilities. The electric grid expansion is expected to create 1,000 construction jobs and represents an investment that tops $1 billion.
Fayetteville lands unmanned aerial systems manufacturer
Skyeton, previously known as Project Odesa, has selected Fayetteville and Cumberland County as the location for its U.S. headquarters and first manufacturing facility in North America. The project will create 162 jobs with an average annual salary of $70,759, and a $3.4 million investment in real estate and equipment. Skyeton currently has production operations in Ukraine, Germany and Slovakia. Its new Fayetteville facility will support the development and manufacturing of advanced technologies designed to enhance the capabilities of military personnel, allied partners and first responders.
German grid infrastructure manufacturer opens Charlotte plant
The Trench Group, a leader in high-voltage grid infrastructure, is opening its first U.S. factory in Charlotte, N.C. The company has contracts with many of the hyperscalers in the U.S., as well as with ERCOT in expanding 765 kV transmission lines. The Trench Group will invest $60 million in the project. America’s grid transformation is underway – 4,000-plus miles of new 765 kV lines, 50 to 79 new substations and $60 billion in investments planned by 2032.
Chinese automotive supplier picks Davie County, N.C.
Shanghai Baolong Automotive will invest over $15 million in a new plant in Mocksville, N.C. The facility will house 80 workers. The Chinese manufacturer will produce air spring assemblies and air supply units for the automotive industry.
Canadian ATV maker to invest in High Point, N.C.
Swamp Rider is set to open its first U.S. ATV assembly plant in High Point. The company plans to spend $2.4 million and create 60 jobs in the deal.
Swiss biotech MindMaze establishes U.S. HQ in Charlotte
A $1 billion company is placing its headquarters in Charlotte. MindMaze Therapeutics has chosen The Pearl district of the Queen City. Founded in 2012 in Lausanne, Switzerland, the company is a leader in neurotherapeutic technology that treats those with strokes, Alzheimer’s and Parkinson’s.
French company creating jobs in North Carolina
AdvanceTEC, a cleanroom manufacturer, is expanding its plant in Clayton, N.C. The $7.5 million project will create 160 jobs.
American Eagle picks Rowan County for distribution hub
The retailer is investing $41 million in the deal that will create 200 jobs.
Canopy maker announces nice deal in Monroe, N.C.
McGee Corporation has announced it will invest $40 million in a new project in the Charlotte submarket of Monroe. The company plans to construct a 366,000-square-foot headquarters and manufacturing facility that will house about 35 workers.
Armacell locates U.S. HQ to Charlotte
Flexible foam manufacturer Armacell has relocated its U.S. headquarters from Chapel Hill to Charlotte. The office is in the SouthPark district in South Charlotte.
Heavy equipment manufacturer announces deal in Catawba County, N.C.
Godlhofer, a global manufacturer of heavy transport and airport ground equipment, is investing about $20 million to build its first North American assembly facility in Hickory, N.C. The project will create 80 new jobs.
Toronto-based INKAS Aerospace and Defense picks Charlotte region
INKAS, which is best known for manufacturing armored vehicles, and has recently gotten into aerospace and unmanned systems, will work out of a 200,000-square-foot building in Charlotte. There was no report on jobs with the deal.
OKLAHOMA
Tulsa International Airport secures another major tenant
Park Aerospace is investing $65 million in Tulsa to manufacture composite materials for airliners and military planes. Once operational in 2028, the plant will house 100 workers.
Aerospace firm expands in Oklahoma
Pryer Aerospace, a maker of complex aerospace components and assemblies, broke ground in the summer quarter on an expansion in Claremore, Okla. Pryer Aerospace’s customers include Blue Origin, Boeing, Nordam, Orizon and U.S. defense contractors.
Autonomous drone operation opens first full-scale facility in Tulsa
Manna — the leader in autonomous drone delivery — announced the launch of its first full-scale metropolitan U.S. operation in Tulsa, Okla., establishing the city as its central operational base in the United States. Over the next three years, Manna expects to create more than 1,000 jobs in Tulsa — across aviation and flight operations, commercial operations, customer support, manufacturing, maintenance and business functions — with plans to build a U.S. manufacturing base in Tulsa to power the entire American expansion.
SOUTH CAROLINA
Another huge project hits the books in the South
The South Carolina Department of Commerce announced in the summer the completion of final approvals for Octapharma’s first U.S. manufacturing and production facility in York County, S.C. The $1.5 billion investment is projected to bring more than 1,500 jobs to Rock Hill, and marks a significant milestone as the biopharmaceutical manufacturer moves forward with establishing operations in South Carolina, further strengthening the state’s rapidly growing life sciences industry.
Headquartered in Lachen, Switzerland, Octapharma has more than 40 manufacturing and office sites worldwide, with production facilities in Austria, France, Germany and Sweden. The company, which was founded in 1983, develops and produces medicines based on proteins derived from human cell lines and human plasma. This new facility will be located in Rock Hill’s Palmetto Research Park and will include an administrative campus for Octapharma’s plasma donation operations.
The only rare earth magnet facility in the Western Hemisphere opens in Sumter County, S.C.
With an investment surpassing half a billion dollars to produce critical infrastructure for the military and the nation, eVAC Magnetics hosted a grand opening ceremony in August at the Pocotaligo Industrial Park, the culmination of several years of hard work and planning. “Today, we officially make magnets in the heart of South Carolina – these magnets make the world go ‘round,” said Sumter Economic Development President and CEO Jay Schwedler. The work behind these ceremonies is often “unglamorous,” Schwedler said, but a key part of the equation. The $506 million project will be staffed by 300 workers.
BMW to assemble new electric SUV in South Carolina
German automaker BMW announced in the summer quarter it will begin production of electric vehicles at its Spartanburg plant by the end of the year. The expansion is being announced at a time when part of the EV market collapsed in the Southern Automotive Corridor over the last two years. The iX5, an electric take on the popular mid-sized X5 gas SUV, will be the first electric model that BMW will assemble at the sprawling South Carolina assembly plant. BMW, like its German cousin Mercedes-Benz with its factory in Alabama, exports more than half of its SUVs made in the South. The new EV will enable BMW to benefit from strong demand for electric vehicles in Europe, where they account for 20 percent of all new vehicle sales. The BMW market is about 6 percent of total vehicles sold in the U.S.
Multi-million-dollar investment will create over 50 new jobs in South Carolina
Detpak USA, a packaging supplier supporting quick-service restaurant (QSR), food service, fast-moving consumer goods (FMCG) and retail customers, announced it has selected Spartanburg County for its first U.S. manufacturing operation. The company’s multi-million-dollar investment will create over 50 new jobs during its initial phase.
Solar supplier to locate plant in Greenville County, S.C.
Fortified Solar, a maker of steel roofing systems with integrated photovoltaic (BIPV) technology, announced it is expanding its operations in the Upstate. The company’s $22.75 million investment will create over 151 new jobs.
Steel fabricator investing in Florence County, S.C.
SteelFab, a leader in the steel fabrication industry, announced it is expanding its operations in Florence County. The company’s $38.92 million investment will create 108 new jobs. The expansion will supply the U.S. Navy with steel components.
TENNESSEE
Memphis region complains about Musk’s A.I. data centers
SpaceXAI sites “Colossus” and “Colossus II” are located near the Memphis International Airport in an older industrial area. The noise and emissions from the two data centers that are at the center of Musk’s A.I. ambitions are getting complaints in both Mississippi and Tennessee, as they are located near the state lines.
Opponents of data centers are using the problems residents in Memphis and Northern Mississippi are having with the two data centers as a rallying cry to impose moratoriums, or at least a time-out until these gas-burning turbine centers are fully understood. In the CNBC article, a resident of nearby Southaven, Miss., said the data center’s noise from the turbines is “like a form of torture.”
In July, New York placed a one-year moratorium on new data centers, as have many counties throughout the nation and in the South. Also in July, New Jersey Gov. Mikie Sherrill passed legislation that promises to make data center operators pay a “fair share” of electricity as opposed to shifting that costs to businesses and residents.
Thing is, Musk’s powerful centers in Memphis are incredibly profitable. Anthropic, Google and Reflection AI are paying to rent excess computing capacity at the Memphis centers at the rate of over $2 billion per month, according to CNBC. Interestingly enough, contractors claim SpaceXAI owes them more than $130 million for work on xAI’s Colossus I supercomputer. According to the Memphis Business Journal, more than $136 million in liens were filed in late July against Elon Musks’s SpaceXAI. Many have said they have not been paid in years.
Medical device manufacturer moves from Franklin to Maury County, Tenn.
Medacta International is relocating its headquarters and manufacturing to Spring Hill, in the Nashville region. Spring Hill is also home to the massive GM plant that has been operating for decades there in Middle Tennessee. The $85 million project will create 200 new jobs.
Wilson County lands nice project
Bridgetown Natural Foods announced it will expand its operations in Wilson County, located just east of Nashville. The company is investing over $24 million and will create 237 new jobs.
Large deal announced in Oak Ridge, Tenn.
TRISO-X plans to create 1,140 new jobs in Oak Ridge, Tenn. The company will construct a new fuel facility and R&D center at the Horizon Center Industrial Park. The company became the first to receive a license from the Nuclear Regulatory Commission (NRC) to build and operate a commercial-scale plant to produce High-Assay Low-Enriched Uranium (HALEU) fuel in the U.S. The plant will also produce advanced small modular reactors
TEXAS
Korea Times: Samsung to break ground on a second fab in Taylor, Texas by end of year
An announcement that proves A.I. is not even close to slowing down; Samsung officials in the summer quarter announced a second chip plant in Taylor, Texas. Samsung made the announcement during its second-quarter earnings call, during which it announced a $62 billion profit. The total represents a 1,814 percent growth rate from a year earlier. The new semiconductor plant would be Samsung’s third in the Austin metro. It operates a multi-billion-dollar plant in Austin and has for decades; and is finishing up its latest plant, also in Taylor, a $17 billion facility that is about to begin full production.
Massive autonomous shipbuilding deal announced for Brownsville, Texas
Austin-based Saronic Technologies has announced that its “Port Alpha” next-generation shipyard is going to be built at the Port of Brownsville. The $3.2 billion project aims to “restore U.S. shipbuilding” as there are barely any ships being built in the U.S. compared to other countries such as China and South Korea. Saronic designs and builds Autonomous Surface Vehicles (ASV), which require no crews for commercial and military applications. According to a press release from Gov. Greg Abbott, “This makes Port Alpha one of the largest economic development projects in modern Texas history.”
Construction is set to begin later this year with initial operations beginning in 2028. It is estimated that Port Alpha will create up to 10,000 direct jobs over the next decade. It should be noted that Port Alpha is located not far from SpaceX’s Starbase in Boca Chica, Texas near Brownsville.
Nvidia systems maker opens plant in Fort Worth
Wistron has opened its advanced manufacturing facility to product Nvidia A.I. systems in Fort Worth, Texas. Wistron’s first U.S. manufacturing facility, a 324,000-square-foot greenfield plant, is producing superchips for Nvidia -- the GB300 Grace Blackwell Ultra Superchip and the Vera Rubin Superchip. The plant will be capable of producing tens of thousands of boards per month. The $700 million deal will create 500 jobs initially and 1,000 by the end of 2026.
Steel components producer picks Houston for 200-job plant
Race Rock, a manufacturer of steel infrastructure products used in highway construction and the energy market, is expanding in Brookshire, Texas. The plant will make electrical transmission and substation structures. The investment, which was unannounced, will create 200 new jobs.
Major electronics player Foxconn to invest $71 million for Apple A.I. server production
In the race for A.I. dominance, Foxconn, one of China’s largest employers, is planning a $71 million expansion at its manufacturing site in Houston. No jobs were reported in the deal.
It rained in Corpus Christi
The dire need for water in the Gulf Coast market of Corpus Christi has temporarily been abated. There has been a lot written about Corpus’ water issues. Flooding from Tropical Storm Bertha found its way to the Southern Texas coast in late July and magically, the floodwaters filled the region’s reservoirs, abating the water emergency from next year to 2028. Corpus Christ is one of the nation’s largest petrochemical corridors.
Another data center campus; this one is near Waco, Texas
Galaxy Digital, a cryptomine and data center firm, has announced its second campus in Texas. The site is in McGregor, which is located near SpaceX’s rocket test and development center. The deal represents a $400 million investment.
Toyota Financial Services expands headquarters in Frisco, Texas
Toyota Financial Services (TFS) began moving into a newly constructed 242,000-square-foot, seven-story building at its headquarters campus in Frisco. Toyota operates its North American headquarters in nearby Plano, Texas. The new headquarters campus can accommodate 1,000 additional workers.
Apple supplier opens in Fort Worth’s Alliance
Taiwanese manufacturer FoxLink has opened its plant in the Alliance Airport facility. The deal will bring hundreds of jobs.
A.I. infrastructure firm LITEON to spend nearly $1 billion on new Texas facility
Asian company LITEON Technology Corporation is investing $919 million in McKinney, Texas, for a large advanced manufacturing campus. The company is involved in power management and builds A.I. infrastructure. The deal will create 600 new jobs.
Texas Instruments expands Richardson plant
Dallas-based Texas Instruments plans to expand chip-making capacity at its plant in Richardson. The semiconductor manufacturer plans to inject $700 million into its factory that makes chips used in satellites, smartphones, vehicles and other electronic devices.
Big deal on the Gulf front
DP World has entered into an exclusive agreement for a long-term lease to develop and operate a container terminal at the Port of Corpus Christi. The agreement marks a key step toward expanding containerized cargo in the U.S. Gulf. DP handles about 10 percent of global container traffic each year through a network of more than 60 ports and terminals worldwide.
New Central Texas economic development organization being formed
Up to 120 cities and 13 counties will be included in a new economic development agency called the Central Texas Alliance. The organization will include San Antonio, San Marcos and Austin in its territory.
Large, 2,800-acre data center pegged for Bastrop County, Texas
Another data center is headed to the Cedar Creek area of Bastrop County, located just east of Austin. One of the other locations for the project was scrapped as a town in Ohio just placed a 12-month moratorium on data center projects. Construction is expected later this year for a gas-fired electric generation facility on the site. Elon Musk is proposing a $55 billion computer chip plant nearby in Bastrop County.
Joint venture to spend $500 million to expand pharma plant in Austin
ICU Medical and Otsuka Pharmaceutical Factory America are investing $500 million in Northwest Austin to nearly double the size of the factory. The company manufactures products such as IV bags.
Amazon building warehouse in “Hot Austin”
Greater Austin is setting all-time records in deal making in Texas. Elon Musk is a deal-making machine; Bezos, too, in Austin. So, naturally, Bezos’ Amazon announced it is building a $48 million warehouse in the Austin suburb of Georgetown. Job counts were not announced. Amazon’s industrial footprint in the Austin region now sits at 7.6 million square feet.
Tesla leases Austin region's largest ever speculative industrial building
Elon Musk’s Tesla is expanding again in Austin. Seriously, Musk announces about 10 to 12 deals a quarter in the Texas capital region and has for three quarters now. And none of them are cheap. This latest project has Tesla leasing a 682,000-square-foot speculative industrial building in the Austin Hills Commerce Center. Musk and his companies now lease 2.2 million square feet of space, and have over 10 million square feet of space that he owns and built in the Austin metro. And that does not include Musk’s $55 billion Terafab semiconductor project that is proposed for nearby Bastrop.
German aircraft engine MRO company opens new $120 million hub in Fort Worth, 1,200 jobs
Munich-based MTU Aero Engines AG opened its newest operation July 8th at a 462,000-square-foot building in AllianceTexas, Hillwood's 27,000-acre master planned development in north Fort Worth. The building was the former American Airlines’ maintenance base and a Rolls Royce engine plant. The project will create 1,200 jobs, most of which will be engine mechanics. The German company's first customer is Brazilian airline GOL Linhas Aéreas.
Logistics firm hiring 300 in Forney, Texas
RJW Logistics recently acquired a warehouse in the Dallas-Fort Worth market of Forney. The new facility brings the total footprint of space for the company to 2.6 million square feet. The deal will create 300 jobs.
Cosmetics company expands in North Texas
Naterra International is building a $34 million, 442,000-square-foot office and warehouse in Coppell, Texas. The facility will serve as the company’s world headquarters.
Toyota announces $3.6 billion expansion, 2,000 new jobs at its San Antonio plant
Japanese automaker Toyota Motor North America (TMNA) announced in July it will invest $3.6 billion to expand its San Antonio manufacturing campus with a second vehicle assembly line to support the Tacoma truck model. The expansion will create 2,000 new jobs and add 2.5 million square feet to Toyota Texas, doubling its size by 2030. TMNA will transition Tacoma production from Toyota Manufacturing Baja California (Mexico) to the expanded Toyota Texas plant over an approximate four-year period. The latest investment will add another assembly line to the campus at Toyota Texas, which already includes a vehicle assembly line for the Tundra model pickup, and a new rear axle plant that is nearing startup.
Irving, Texas-based Caterpillar chooses Texas for part of $100 million workforce investment
Caterpillar announced in the summer it will invest $5 million in talent development efforts in Texas. The announcement was made at the construction equipment manufacturer’s 1.7 million-square-foot engine facility in Seguin, located just outside San Antonio. The investment is part of the $100 million “Building the Future Workforce Initiative” that the company launched last October in Indiana.
Seguin, Texas in the headlines again
A major investment is headed to Seguin, Texas, located on the outskirts of San Antonio. H-One announced in July it will expand its North American subsidiary, KTH Texas, by investing $100 million in a 300,000-square-foot facility in Seguin. The company will install three automated press lines, including a 3,500-ton press, to produce ultra-high-strength steel and aluminum components used in next-generation vehicles. The deal will create 173 jobs.
New LNG export plant in Brownsville one step closer to construction
Texas LNG Brownsville has chosen the project’s Engineering, Procurement and Construction (EPC) contractor -- Kiewit Energy Group. Kiewit will cover the purchase of long-lead equipment and engineering activities for the plant. The LNG export campus has received Federal Energy Regulatory Commission authorization for construction and operation. The project is expected to cost tens of billions of dollars.
Port of Freeport, Texas captures Mitsubishi Motors import facility
The Port of Freeport is positioning itself as one of the fastest growing automotive gateways in the United States after Mitsubishi Motors announced in July it is using the port as a new distribution gateway. The Japanese automaker also uses ports in Baltimore and Jacksonville, Fla., to import its cars.
VIRGINIA
Virginia-based defense firm to invest $18 million
Manassas-based Hepburn and Sons is investing over $18 million in a new headquarters in Prince William County, Va. Mainly involved in the maritime industry, the company is branching out in new areas of military defense. The project will create 80 new jobs.
Southern Business & Development
8086 Westchester Place
Montgomery AL 36117
205.871.1220
| SECTIONS | MAGAZINE | OTHER NEWS |