National FDI Data Detail
Just some Information to throw around.
The article declares there are ten states which are benefiting the most from Foreign Direct Investment (FDI). This is taken from a pitch in Global Business which was also picked up in DBusiness (Detroit).
“In the past five years, international companies created ~400,000 Mfg. jobs in the US while at the same time the U.S. lost 223,000 jobs.”
Granted this statement covers 2 years prior to the pandemic. There could be truth to this numeric. Since early 2019, Participation Rate dropped from 63.3% to 60% in 2020 due to the pandemic and was at 62.4% in January 2023 (I have not updated my numbers yet). The reports coming from New Deal democrat’s commentaries suggest there is not enough Labor out there to fill the existing open jobs. Of course, this has led to increased wages which the Fed Chairman has been battling by increasing the Fed Rate. Except there are different causes to the inflation rate which go unhindered by an increased Fed Rate. Unless you blow the entire economy up by a steady increase in the Fed Rate. Watching Greenspan scramble by bring down the Fed Rate (2000?) was interesting and maybe funny. Greenspan went too far.
The unemployed numbers are slowly creeping up. This Labor Demand increase is also not similar to what happened in 2008 to Labor.
Yes, foreign companies continue to open up in the US. In my younger days, I worked for the Japanese, the Germans, and the Koreans. I spent time writing their letters for them. The relocation to the US is very real and automotive manufacturing was one reason to manufacture in the US rather than shipping cars to the US via RoRos.
Another article I read in Global Business peaked my interest. A step along similar lines as the above article except it is naming states.
Ten States Leading America’s FDI Manufacturing Workforce, GBA, globalbusiness.org.
The top ten states leading America’s foreign direct investment (FDI). These are statewide total jobs created by foreign companies and the numbers which are in manufacturing plus new numbers.
- Michigan boasts the highest amount of manufacturing jobs as a percentage of total FDI jobs at 63.9 percent. Hyundai Motor invested $50 million in Michigan establishing a testing and investigation laboratory in Ann Arbor. Creating more than 150 new jobs there. 203,600 of the 318,400 foreign jobs created are in manufacturing.
- Kentucky ranks second in the nation, with 62.5 percent of all FDI jobs created in the manufacturing sector. In Georgetown, Kentucky, Toyota is investing $461 million into a manufacturing factory and creating 1,400 new jobs in the area. 87,500 of the 140,000 foreign jobs created are in manufacturing.
- Arkansas’s FDI manufacturing employment makes up 61.4 percent of all jobs created by international companies in Arkansas. L’Oréal USA invested $12 million into its Little Rock, Arkansas, manufacturing plant, creating 45 new jobs. 29,700 of the 48,400 foreign jobs created are in manufacturing.
- Wisconsin comes in fourth with 57.7 percent of all the state’s FDI jobs being in the manufacturing sector. For instance, Nestlé invested $70 million into its Burlington factory, creating more than 100 new positions in the state. 76,100 of the 131,800 foreign jobs are in Manufacturing
- South Dakota trails Wisconsin closely and holds the fifth-highest amount of manufacturing jobs as a percentage of total FDI jobs at 57.5 percent. For example, Smithfield Foods invested $45 Million into expanding its Sioux Falls facility, creating 70 jobs in the region. 8,400 of the 14,600 foreign jobs created are in manufacturing.
- Alabama ranks sixth, with 56.8 percent of all FDI jobs created falling in the manufacturing sector. Hyundai Motor Manufacturing Alabama invested $300 million in the state to produce clean mobility vehicles, adding 200 new manufacturing jobs to the region. 66,400 of the 116.000 foreign jobs created are in manufacturing.
- Indiana is seventh in the country with 56.1 percent of all jobs provided by international companies being in the manufacturing sector. Toyota Motor North America is investing $803 million into its Princeton, Indiana, assembly plant. The project is expected to create approximately 1,400 new jobs by the end of 2023. 114,500 of the 204,100 foreign jobs created are in manufacturing.
- Iowa ranks eighth, with 54.6 percent of all FDI jobs created in the manufacturing sector. BAE Systems has grown its manufacturing presence in Iowa by building a $139 million facility in Cedar Rapids, Iowa, creating 60 new jobs in the area. 34,900 of the 63,900 foreign jobs are in manufacturing.
- Nebraska’s FDI manufacturing employment makes up 54.5 percent of all jobs created by international companies in the state. Schneider Electric invested $46 million to modernize manufacturing and increase production in its Lincoln, Nebraska, plant. 20,000 of the 36,700 foreign jobs created are in manufacturing.
- South Carolina ranks tenth on our list, with more than half, 52.7 percent, of the state’s FDI jobs in the manufacturing sector. Volvo is expanding its electric vehicle manufacturing at its Ridgeville, South Carolina, facility with a $118 million investment. 85.700 of the 162,700foreign jobs created are in manufacturing.
The new numbers are not exactly eye opening. Indiana’s 1400 new jobs stands out for a small town or city. At the end of each state’s paragraph, I did record the total number of foreign company jobs created and the number in manufacturing.
National Foreign Direct Investment (FDI) information by state Interactive chart.
Foreign Direct Investment strengthens America’s Economy.
Latest National Foreign Direct Investment (FDI) Data.