From Site Selection magazine, March 2004
TOP INDUSTRIES
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From Site Selection magazine, March 2004
TOP INDUSTRIES
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Transportation Makes It Five for Five
ecord sales of cars and trucks around the world in 2003 fueled a new round of facility expansions among transportation equipment manufacturers. According to  data from Site Selection's New Plant Database, transportation equipment manufacturers accounted for more new and expanded plants last year than any other industry.
With 400 total corporate projects in 2003, the transportation industry led all manufacturing sectors for the fifth year in a row. Coming in second was chemical and pharmaceutical manufacturing (300  projects), followed by food processing (269), plastics and rubber products (238) and fabricated metals (198).
Led by December's announcement of the huge Boeing 7E7 assembly plant being awarded to Everett, Wash., the transportation industry recorded healthy project numbers, particularly in the South and Midwest. Of the 25 largest  transportation projects announced in the U.S. last year, 14 of them landed in the Midwest. The Midwest also garnered six of the top 10 transportation projects.
Besides the Boeing project, the largest deals in this sector were Toyota's US$800-million new truck plant in San Antonio, Texas; Mercedes' $600-million SUV plant expansion in Tuscaloosa, Ala.; Ford's  $583-million automotive assembly expansion in Wayne, Mich.; DaimlerChrysler's $500-million transmission manufacturing expansion in Kokomo, Ind.; and Global Engine Alliance's $400-million new engine plant in Dundee Township, Mich.
But new cars and trucks weren't the only vehicles being added to assembly lines last year. A new round of aircraft orders created demand for higher output in aircraft assembly plants. Vought Aircraft led the way with a $300-million expansion of its aerospace plant in Dallas. Boeing announced a new $104-million aircraft plant in St. Louis; and JetBlue contributed a $160-million new facility in Orlando that will include a new aircraft maintenance hangar. These aren't your father's "new plants," however. Like other industry sectors, aircraft facilities are taking on an entirely new high-tech look.
At JetBlue's new facility in Orlando, an in-flight satellite television system is being installed to assist in training. About 154 jobs are being created at this facility, which will be one of the most modern in the world. The 150,000-sq.-ft. (13,935-sq.-m.) project for JetBlue involves two facilities and takes advantage of Central Florida's rapidly growing cluster of simulation, modeling and training companies. The average annual wage of new jobs being added at JetBlue is $60,000. The hangar will cover 70,000 sq. ft. (6,503 sq. m.) and will have the capacity to accommodate three Airbus A320 aircraft. JetBlue recently ordered an additional 100 Embraer 190 aircraft, the first of which is to be delivered in mid-2005. "Building on our long-standing partnership with the Greater Orlando Aviation Authority, Gov. Jeb Bush, Mayor Buddy Dyer and County Chairman Rich Crotty have all stepped up to the plate to help take JetBlue's commitment to Central Florida to a new level," said Dave Barger, president and chief operating officer of JetBlue Airways. "We were also fortunate to have the support of a variety of community organizations such as the Metro Orlando Economic Development Commission, Enterprise Florida, the University of Central Florida and Valencia Community College." The governor himself played a leading role in recruiting JetBlue to Florida. "JetBlue had a choice in where to locate their first-ever flight training center and maintenance hangar, and they picked Florida," Bush said. "This is a major victory for Florida and Orlando as it lends to our efforts to diversify Florida's economy. The technology, training facilities and jobs brought here by JetBlue only add to Orlando's reputation as the world's hub for simulation and modeling activities." The South showed other gains in transportation manufacturing, including Nissan's $250-million expansion in Smyrna, Tenn.; Ogihara America's $180-million stamping plant in Pinson, Ala.; and Northrop Grumman's $169.9-million shipbuilding expansion in Pascagoula, Miss. 
In the chemical and pharmaceutical sector, the largest projects of 2003 were Reading Anthracite's $612-million diesel fuel plant in Gilberton, Pa.; Pfizer's $560-million expansion in Manhattan, N.Y.; and Cameron LNG's $552-million new plant for liquid natural gas in Hackberry, La. Geographic diversification was more the rule in this sector, as the South had nine projects, the Midwest had seven and the Northeast had seven of the 25 largest chemical projects. The largest food-processing projects of 2003 were Roquette Inc.'s $400-million corn starch expansion in Keokuk, Iowa; Glanbia's $192-million new cheese plant in Clovis, N.M.; and Monsanto's $180-million powdered milk plant in Augusta, Ga. As expected, the Midwest dominated this sector, recording 13 of the top 25 food-processing projects. The South had eight. 
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 ©2004 Conway Data, Inc. All rights reserved. SiteNet data is from many sources and not warranted to be accurate or current. |
