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The South's Top Automotive Supplier Locations
By Steve Ruling and Mike Randle
ALABAMA
Opelika, Alabama
This market is destined for something great. Already it
has been diced, sliced and figured every which way by more
than one major automotive assembly operation. Reports say
that it was second on the list for Nissan when that Japanese
automaker finally chose Canton, Miss., for its latest major
facility in the American South.
Why is Opelika destined for something great? With a 1,300-acre,
contiguous tract having rail access, an excellent infrastructure
network and frontage along Interstate 85, the 1,900-acre
Northeast Opelika Industrial Park is sure to attract the
attention of automotive suppliers. More than that though,
it has attracted the attention of major automotive manufacturers
like Nissan and Mercedes.
A 106-acre parcel and a 124-acre parcel in the park are
available for prospective suppliers in this new industrial
park. The park has superb access to transportation and skilled
labor. A new interchange currently under construction will
directly serve the park, placing it less than one hour and
fifteen minutes from Atlanta's Hartsfield International
Airport, as well as only 15 minutes away from Auburn University,
home to over 22,000 students, 3,400 of which are in engineering
studies.
Cullman County, Alabama
Cullman Is Completely Surrounded By Major Assembly Plants
By Mike Randle
Cullman County is ideally located in north central Alabama
within 600 miles of half the population of the U.S. The
county's excellent transportation network is demonstrated
by the fact that six companies have chosen Cullman for their
distribution centers, including Wal-Mart, Badcock and Lee
Jeans. Ease of product delivery is one of the automotive
supplier industry's greatest concerns. Cullman provides
suppliers an easy entry to assembly plants. In fact, Cullman
is now surrounded by most of the South's auto assembly facilities
including Mercedes and Honda in Alabama, Nissan in Mississippi
and Tennessee, Ford and GM in Georgia and Saturn in Tennessee.
And don't forget about the easy drive right up Interstate
65 to Kentucky's large assembly plants. All in all, Cullman
is located within 200 miles of 10 major Southern OEMs and
16 within 400 miles.
Cullman has been one of the fastest growing non-MSA counties
in Alabama in the past 10 years for new and expanding industry.
In addition, Site Selection Magazine recently recognized
Cullman with a ranking of 38th out of the top 100 cities
in America for new and expanding industry during the past
decade. Not bad recognition for a market that hasn't grown
to MSA status as of yet. By the way, there are nearly 300
MSAs in the U.S. I wonder how many Cullman beat out in that
Site Selection survey? Let's just say it was most of them.
Already, Cullman has attracted 10 automotive suppliers,
led by REHAU, Webb Wheel Products, DCP-Lohja and Fleet Air.
The county's prospective 11th supplier has the opportunity
to move into an excellent 100,000-square-foot spec building
that's available right now in Cullman. The building, completed
in 2000, features a high ceiling, with 24' eaves. All utilities
are in place and the city and county own the building, a
situation that makes the facility much more affordable to
suppliers.
In a state that has seen its annual transportation exports
nearly quadruple in just one year (and that's not counting
Honda's exports when the plant comes on line), Cullman stands
out as an outstanding automotive supplier location in the
American South.
For more information on Cullman County, contact Peggy Smith
at 256-739-1891 (e-mail: peggys@cullmaneda.org) or go to
www.cullmaneda.org
Decatur/Morgan County, Alabama
Decatur/Morgan County, Alabama is located in the heart
of the automotive industry in the South. Newly announced
facilities such as the Nissan plant north of Jackson, Mississippi,
the Honda facility in Lincoln, Alabama, Toyota in Huntsville,
Alabama as well as established facilities like Mercedes
in Vance, Alabama, Saturn is Spring Hill, Tennessee and
Nissan in Smyrna, Tennessee, are all located within a 300-mile
radius of Morgan County. All of these facilities can be
traveled to in 3-6 hours. There is also a Delphi Automotive
Steering Gear facility employing about 2,700, just outside
Morgan County.
Morgan County is an ideal location for suppliers to these
facilities because of the close proximity and because of
the industrial sites that they have to offer. There are
sites ranging from just a few acres up to several hundred
acres. One of county's most successful industrial parks,
Mallard-Fox Creek, has approximately 350 acres remaining
-- 269 acres being contiguous, with all utilities available
at the site or within a short distance. There are numerous
other privately owned sites, which are available as well.
Morgan County has a population of 107,869, according to
2000 Census figures. There are approximately 16,000 people
in the Decatur MSA who are employed in the manufacturing
sector. With many different training programs established,
a two-year college, which is heavily involved in industrial
training, and a top-of-the-line state training program,
Alabama Industrial Development Training, Morgan County features
a quality, well-prepared work force pool. Morgan County
is ready to assist automotive suppliers and manufacturers
in choosing the area for their next site location.
For more information on Decatur and Morgan County, contact
John Hatfield at 256-353-1213 or go to www.mceda.org
Talladega County, Alabama
Talladega May Be The South's Hottest Automotive Location
Name a place anywhere that can call home one of the world's
newest automotive assembly plants, some of world's largest
automotive suppliers and the world's fastest speedway. That's
what you will find in Talladega County, Alabama. Located
east of Birmingham and just over 100 miles west of Atlanta,
Talladega County has quickly become one of the South's fastest
growing and most attractive automotive supplier locations.
In just the last couple of years, Honda announced its newest
North American assembly plant here (to build the Odyssey
minivan and over 120,000 engines each year) and one of the
world's largest automotive suppliers -- Teksid -- has already
built one plant and begun another. The new Honda plant began
operations in July. The first Odyssey to rollout of the
plant is expected by the end of the year.
While the automotive industry is relatively new to Talladega
County, racing is not. In 33 years the Talladega Superspeedway,
the biggest, fastest, most competitive motorsports facility
in the world, has brought millions of NASCAR fans to Talladega
County. And now, Honda is helping bring numerous suppliers
to Talladega.
The aforementioned Teksid, a division of Italian automaker
Fiat, built an $80 million, 400-employee, aluminum engine
castings plant in Talladega County. Prior to its completion,
company officials announced they were building another facility
in the county. Teksid is the world's largest manufacturer
of aluminum cylinder heads.
Other suppliers have followed Teksid's lead. In May, Precision
Strip of Minster, Ohio, selected a 67-acre site north of
the city of Talladega and is building an 110,000-square-foot
facility. Precision Strip processes steel and aluminum coils
for the automotive industry among other sectors. And New
South Express is building a 200,000-square-foot consolidation
center on 58 acres in Talladega County.
Residents and officials of Talladega County have done an
excellent job of preparing themselves for the big-time entry
they have made into the automotive assembly and supplier
business. For one, many residents of the county have been
trained for work in automotive-related fields and the county
has prepared sites in anticipation of a supplier onslaught.
Honda supplier or not, Talladega County is ready for the
next expansion of your automotive supplier business.
For more information on Talladega County, contact Calvin
Miller at 256-245-8332 or go to www.tceda.com
Huntsville, Alabama
Toyoto Motor Manufacturing North America recently chose
Huntsville for its $220 million, 300,000-square-foot V-8
engine assembly plant. The location is another strong signal
that Alabama is for real in the automotive assembly and
supplier game. Toyota joins other leading automotive-related
companies such as DaimlerChrysler, Futaba, Goodyear/Dunlop,
Engelhar and International Diesel in making Huntsville one
of the South's emerging technology centers.
Previously known in the auto industry for electronics and
tech manufacturing, Huntsville is quickly making a name
as a growing location for engine assembly as well. Toyota's
plant joins International Diesel's new $350 million, 500,000-square-foot
engine assembly facility announced nearly two years ago.
GEORGIA
LaGrange, Georgia
LaGrange is located less than an hour from Atlanta Hartsfield
International Airport, the busiest airport in the U.S. Two
interstates connect in LaGrange, I-85 and I-185, plus U.S.
27 and 29 give excellent transportation access to the automotive
center of the South. Furthermore, LaGrange is but a stone's
throw from Opelika, Ala., which was the bridesmaid in the
Nissan site search that eventually ended in Canton, Miss.
Sixty-plus industries are located in LaGrange and Troup
County. Of these there are nine automotive related businesses
employing 2,200. Auto suppliers from Germany, Japan and
the U.S. have chosen LaGrange as a place to conduct business.
They make airbags, metal trim, plastic trim, floor mats,
pistons, brakes, batteries, powertrain systems and molded
rubber products.
Other reasons suppliers should consider LaGrange center
around the fact that this, like most markets in the South,
is a non-union location. Incentives are very attractive
and product for industry can't be beat. Reasonably priced
land in two industrial parks, with utilities already in
place as well as available buildings make LaGrange a place
that you can move into and set up shop in a hurry. In addition,
the World Teleport Association selected LaGrange as the
"Intelligent City of the Year."
For more information on LaGrange and Troup County, contact
Jane Fryer at 706-884-8671 (e-mail: jfryer@lagrangechamber.com)
or go to www.lagrangechamber.com
KENTUCKY
Bardstown, Kentucky
Bardstown/Nelson County is one of the top 10 fastest growing
counties in the State of Kentucky boasting a 26% growth
rate over the recent decade. Also, the growth in young people
18 years of age and younger has increased 30% over the same
period. Statistics indicate that Nelson County has a large
labor pool of available workers both now and in the future.
Nelson County has been designated a KREDA (Kentucky Rural
Economic Development Act) county, which makes it eligible
for very valuable tax and wage benefit credits that it can
pass on to locating companies.
Bardstown is home to such automotive suppliers as Tower
Automotive, Jideco, Intertec Systems, TrimMasters and many
others. Interstate 65 and the four-lane Bluegrass Parkway
serve Nelson County's heavy industrial transportation. Louisville
International Airport is only 30 minutes away.
Bowling Green, Kentucky
Here's another market that is smack-dab in the middle of
the South's (and the Midwest's) major automotive assembly
plants. There are 62 automotive and truck plants in the
South and Midwest within next day delivery of Bowling Green.
This Kentucky market features immediate access to Interstate
65, the Cumberland Parkway and the William Natcher Parkway.
Bowling Green is one hour away from one of the South's best
airports, Nashville International, and about 90 miles from
Louisville's airport.
GM employs over 1,000 in Bowling Green (Corvette plant),
and Sumitomo Wiring employs almost 2,000. Holley Performance
Products is a major supplier located in Bowling Green as
is DESA.
LOUISIANA
Shreveport, Louisiana
Excitement Abounds in Shreveport
Some of the residents of Shreveport may seem a little anxious
these days, but they have good reason to be. They're eagerly
awaiting the completion of a new $750 million, 1.8 million-square-foot
General Motors plant that Site Selection rated as one of
the five largest construction projects in the U.S. for the
year 2000.
Announced in December of 1999, the plant is being built
on land adjacent to an existing GM facility that totals
2.1 million square feet. The new plant will house a body
shop and general assembly area and include two of the automotive
industry's latest innovations: an on-site stamping facility
and a just-in-time delivery system. The delivery system
frees GM from having to store significant amounts of inventory
because suppliers deliver parts on an as-needed basis. This
requires suppliers to be located within at least an hour
of the plant, which is good news for Shreveport and Louisiana's
economy. It also makes Shreveport an easy choice as one
of the South's best automotive supplier locations.
Already, eight tier-one suppliers have made verbal commitments
to locate in the area, with more expected to follow. In
fact, the Greater Shreveport Chamber is betting suppliers
will continue to locate in the area as long as the GM plant
is in production.
Shreveport is strategically located to attract suppliers
that have contracts in Texas, Mississippi, Tennessee and
other Southern states. David Berzina, the Shreveport Chamber's
senior vice-president for economic development, said he
strongly believes GM and Shreveport are positioned in a
strategic location in what is called "automotive alley."
The state has increased its tax credit for automakers to
$5,000 per-job-created in hope of attracting employers.
In addition, a 10-year 100 percent tax abatement also adds
to the appeal of a Shreveport location.
Annual reports within the last few years reveal GM's efforts
to streamline the production process and replace aging structures
by building new assembly plants capable of operating around
the clock and flexible enough to be used for producing more
than one type of vehicle. The new, expanded Shreveport plant
will be just such a site.
The new GM plant in Shreveport will manufacture the Chevy
Colorado. The new mid-size truck will serve as the replacement
for the Chevy S-10 and GMC Sonoma, which have been built
at the existing Shreveport plant. Not a lot is known about
the Colorado except that it will offer more room and horsepower
on a larger platform. GM doesn't want to reveal too much
about the Colorado too soon. However, GM plant manager Tom
Dennig said an early version of the Colorado might be unveiled
at auto shows next year.
Training in Shreveport for skilled trade workers started
in January and will continue through the first quarter of
2003. By then, the plant will be up and running. Construction
is scheduled to be completed about this time next year.
Right now, the concrete floor is being put down at a thickness
of four feet so that it will be able to bear the weight
of the plant's machinery. It's that machinery that will
soon be brought to life, and with it will rest the hopes
and dreams of all those employees who will depend upon it
for their livelihoods. So, you'll forgive them if they seem
a little anxious. They have reason to be.
For more information on Shreveport and its possibilities
for your automotive supplier location, contact David Berzina
at 318-677-2536 or go to www.shreveportchamber.org
MISSISSIPPI
Brookhaven, Mississippi
Why is Brookhaven and Lincoln County, Mississippi just
right for automotive suppliers? It's Brookhaven's just in
time location. The area is JIT to three different major
automotive plants in the South: Nissan in Canton, Miss.;
Mercedes in Vance, Ala.; and, GMC in Shreveport, La.
If your company is a prospective Nissan supplier, Brookhaven
is a perfect location. It's south of Jackson, yet right
on Interstate 55. Brookhaven is also located just 40 miles
from I-20, 70 miles to I-10 and 80 miles from I-59.
The existing and affordable work force that is familiar
with the automotive industry, is highly skilled in manufacturing
operations. The available work force is supported by excellent
public education and training. The Copiah-Lincoln Community
College provides training to your employees free of charge.
Brookhaven's K-12 consistently performs better than the
state and national averages. Brookhaven is also home to
the Mississippi School of the Arts.
Brookhaven has available sites now for automotive suppliers.
The county runs an excellent industrial park and infrastructure
is in place. Local incentives are also available for suppliers.
If quality of life and location are important to you, check
out Brookhaven as a site for your next expansion.
For more information on Brookhaven County, contact Chandler
Russ at 601-833-141.
Vicksburg/Warren County, Mississippi
You'll Fall In Love With Vicksburg
By Mike Randle
I was much younger and still hell-bent to know and see
every single county in the South when I pulled into a Vicksburg
motel one early evening in September of 1994. The budget,
yet clean and well-maintained motel had a panoramic view
of the Mississippi River and the majestic bridge in Vicksburg
that crossed it. During the evening I spent there, I sat
on the bluffs overlooking the unbelievably powerful current
of the Mississippi River and wondered what all had passed
by that bridge. It was a sight that I remember vividly to
this day.
I have visited over 1,000 markets in the South and Vicksburg
will always go down as one of my 25 or 30 favorites. Apparently,
Vicksburg has become a favorite among automotive suppliers
as well. Jimmy Heidel, the former director of Mississippi's
economic development efforts has stepped in to lead Vicksburg's
economic development. That's certainly a good thing because
Heidel, along with former Gov. Kirk Fordice, can be credited
in part at changing Mississippi's economy forever. For example,
10 years ago, Mississippi could not have competed for a
plant the size of Nissan's that is being built now just
north of Jackson. Obviously today they can.
Vicksburg/Warren County is located right on I-20, only
45 minutes from the new Nissan site in Canton, Miss., and
a short drive to the expanding General Motors' pickup truck
plant in Shreveport. Location isn't all Vicksburg has to
offer. It has product for industry that is envied by its
peers. The only railroad crossing of the Mississippi River
between Baton Rouge and Memphis is in Vicksburg. There's
a major port facility with Port of Entry and Foreign Trade
Zone status.
But, for you suppliers out there, Vicksburg has product
and it's big time product. The Ceres Research and Industrial
Interplex features 1,000 acres of industrial sites and it's
located right on Interstate 20. Currently, several suppliers
to the automotive industry are looking at the Ceres Research
and Industrial Interplex. I suggest you take a similar look.
Like me, I think you will fall in love with Vicksburg.
For more information on why Vicksburg is one of the South's
best automotive supplier markets, contact Jimmy Heidel at
601-636-1012 or go to www.vicksburgliving.com
Metro Jackson
Metro Jackson is home to the South's newest automotive
assembly plant. And what a plant it will be! Nissan's new
facility in Canton, located just north of Jackson directly
on Interstate 55, is one of the largest start ups in the
South's history. The $930 million, 4,000-employee facility
is the jewel of Mississippi's recent economic development
resurgence.
Metro Jackson, in central Mississippi, offers an exceptional
opportunity as a location for automotive suppliers. The
area is advantageously located within a 700-mile region
where a network of parts and components suppliers and automotive
plants such as the Tennessee Saturn plant, the Kentucky
Toyota plant, the South Carolina BMW plant and the Alabama
Mercedes and Honda plants have been sited. In addition,
the $930 million Mississippi Nissan manufacturing plant
is under construction in Metro Jackson and will be completed
in 2003. This plant, with a capacity of 250,000 vehicles
a year, will produce a full-size pickup truck, a full-size
sports utility vehicle and the next generation minivan.
Meridian/Lauderdale County
Lauderdale County, Miss., and the city of Meridian are
located on two interstates and two mainline railroads halfway
between the new Nissan plant in Mississippi and the Mercedes
facility in Alabama. A new industrial park of more than
600 acres can provide companies with adequate space to service
the growing auto industry in the Southeast. The area has
a long history with automotive suppliers. Pioneer, Inc.,
a distributor of auto parts, expanded its distribution center
within the past four years. Delco Remy of America produced
auto parts for more than 20 years in Meridian. With Nissan
and Mercedes suppliers looking to the South for sites, it's
hard to discount Lauderdale County's transportation infrastructure,
available sites and superb location.
Columbus/Lowndes County
What More Could an Automotive Supplier Want?
Columbus and greater Lowndes County, Miss., feature an
abundant, technically competent labor force, excellent water,
rail, air and highway transportation facilities and reliable,
reasonably priced utilities. Does your supplier operation
need more than that? How about fully developed industrial
sites, available industrial buildings ready for immediate
occupancy and a JIT location that's close to Alabama's Mercedes-Benz
plant and Mississippi's Nissan plant?
All of this can be found in Columbus, Miss. Add the area's
business friendly environment and excellent education facilities
with K-PhD and you may have a perfect location for prospective
automotive suppliers searching sites in the South.
In addition, the Columbus/Lowndes County Economic Development
Association has an available, 57,600-square-foot speculative
building that is highly suitable for most tier two automotive
suppliers. The facility sits on six acres in the Golden
Triangle Industrial Park and features 24-foot ceiling heights
at the eaves and 34-foot heights at the center.
This brand new building is expandable and has two truck-dock
doors, bay spacing of 40' x 40' and is served by a 16"
main water line. All utilities are in place. If you are
a supplier to any of the South's major automakers, a site
in Columbus/Lowndes County will be an excellent choice.
For more information on Columbus/Lowndes County contact
Charleigh Ford, CED, executive director of the Columbus/Lowndes
EDA at 662-328-8369 (email: cford@cleda.com)
or go on the Web to www.cleda.com
NORTH CAROLINA
Mooresville, North Carolina
Mooresville, nicknamed "Race City, USA," is home
to over 60 race teams, representing all levels and racing
divisions. It is also home to the NC Auto Racing Hall of
Fame & Museum, the highlight of many racing fans' pilgrimages
to the area. Besides race teams, more than 70 race-related
businesses, such as racing suppliers, parts companies and
marketing and advertising establishments are located in
the Mooresville area.
While racing teams are king in Mooresville, suppliers to
the automotive manufacturing industry find the area to be
very attractive. Located here are major operations for Eaton
Corporation, Toyo Seal, NGK Ceramics, Downey Products, Master
Power Brakes, Parker Hannifin, Simpson Products and Signal
Technology Systems.
Statesville, North Carolina
The Statesville area is certainly a prime location for
automotive suppliers. Situated at the intersection of I-77
and I-40, Statesville gives easy access to automotive manufacturers
from the Midwest throughout the Southeast. Statesville's
central location along the East Coast gives one-day truck
access to over 60% of the U.S. population.
The area is located just 45 minutes from the Charlotte
Douglas International Airport and features numerous sites
and buildings available for potential suppliers. Suppliers
to the auto industry already doing business in Statesville
include ASMO North Carolina, Goodyear Tire & Rubber,
Trim Systems and Dana Corporation, among others.
Gastonia/Gaston County, North Carolina
For Automotive Suppliers, It's Hard To Beat Gastonia, N.C.
The Charlotte, N.C. area is well known for its automotive
supplier companies. Gaston County, which is located less
than 30 minutes from downtown Charlotte and about 20 minutes
from the Charlotte Douglas International Airport, owns up
to that reputation. This market is a natural for automotive
suppliers with excellent access to markets in the South,
Midwest and Northeast. Gastonia also has excellent product
availability, with several industrial parks and outstanding
buildings available to suppliers to the many major automotive
plants that are located in the American South.
Well known companies in Gastonia/Gaston County that are
automotive-related include Freightliner, Bridgestone/Firestone
and DANA/Wix. Wix is putting the finishing touches on a
new regional office in Gastonia. Stabilus and CWW-Gerko
are other automotive suppliers located in Gastonia or Gaston
County. Both are foreign owned. In fact, DANA is the only
American-owned automotive company located in Gaston County.
That supports a major trend linked to the South's automotive
industry; foreign-owned automotive manufacturers and suppliers
have fallen in love with the American South.
Gaston County offers outstanding proximity to major assembly
plants in the South, particularly BMW in Greer, S.C. CWW-Gerko
is an important supplier to BMW's large assembly plant in
Greer. But what makes Gastonia one of the South's best automotive
supplier locations centers around the community itself.
This is a community built on manufacturing and its work
force thrives in a manufacturing environment.
For more information on Gastonia and Gaston County's sites
for automotive suppliers, contact Steve Stout, president,
Greater Gaston Development Corporation at 704-864-6646 or
by email at steves@gastonchamber.com
OKLAHOMA
Ardmore, Oklahoma
One Of The Western South's Premier Automotive Supplier
Locations
Situated on I-35, midway between Dallas and Oklahoma City,
Ardmore is strategically located for tier one automotive
industry suppliers. The region served from an Ardmore location
easily reaches GM's plants in Dallas, Oklahoma City and
Shreveport. The Peterbilt plant in Denton, Tex., and the
AMTRAN bus plant in Tulsa are added potential customers
for truck and auto suppliers. The Ardmore location has proven
to be advantageous for National Seating, a supplier to the
Denton Peterbilt plant.
The Ardmore Development Authority (ADA) has numerous sites
ready to build in any of four industrial parks that are
located adjacent to or within five minutes of I-35. Westport
Industrial Park, for example, fronts I-35 and provides interstate
access from either end of the 200-acre park. Michelin Tire
Corporation's distribution center is located in this new
complex.
The ADA's ownership of prime industrial sites and buildings
is a prime cost saving advantage for companies considering
a new location. When coupled with a unique build-to-suit
and sale or lease program, industries have experienced a
fast, painless and cost-effective way to enter a new market.
ADA owns buildings ranging from a small office to a 750,000-square-foot
distribution facility. Their portfolio also includes a variety
of industrial buildings and, in an innovative approach to
cost savings, even some major industrial machinery which
is leased, tax free, to the tenant.
Perhaps the greatest asset is the ongoing relationship
between the ADA and local industries. Ardmore has a decided
non-union attitude and the organization takes the lead and
spends their time and money to help companies remain union
free. There have been only two elections in the last 20
years and in each election the ADA-led "vote no"
effort prevailed with overwhelming margins.
The organization also teams with the Oklahoma Alliance
for Manufacturing Excellence to provide technical expertise,
ISO 2000 assistance, engineering analysis, marketing support
and other services that help local companies succeed.
Another innovative program is called TASO (Training Alliance
of Southern Oklahoma). The members of TASO include local
industries, the Manufacturer's Alliance, ADA and the local
Technology Center. Currently, TASO is training technicians
in an employer-led apprenticeship type program. Extensive
(college credit hour) training is provided in electricity,
electronics, mechanical, programmable logic controller,
pneumatics and hydraulics. The TASO program provides local
industries with a steady stream of qualified and hard to
find industrial technicians.
Ardmore is committed to assisting automotive suppliers
and has the training programs, industrial sites and community
infrastructure in place to assure a profitable location.
For more information on Ardmore, Oklahoma, contact Wes
Stucky, president of the Ardmore Chamber at 580-223-7765
(email: wstucky@ardmore.com)
or look them up on the Web at ardmore.org
Oklahoma City, Oklahoma
Retooling of GM Plant Brings More Suppliers to OKC
Not too long ago, J.D. Power and Associates named Oklahoma
City's General Motors facility as the No. 1 quality auto
assembly plant in North America. So what does GM do? It
retools the plant for production of a sports utility vehicle.
While the plant expands and retools, suppliers are biting
at the bit. Textron recently located a new instrument panel
manufacturing facility in Oklahoma City and Delphi has also
chosen the area for an expansion.
If what you are looking for in a supplier location is a
major Southern market, with low operating costs and a tremendous
work force, this is your place. For example, in the annual
North American Cost of Doing Business Review, Economy.com,
Inc., found Oklahoma City's overall cost of doing business
to be one of the three lowest of the 162 metro areas surveyed
in the U.S. The city was given an index of 81.8, compared
to 94.2 for Dallas, 98.7 for Denver, 107.9 for Chicago and
100.7 for Seattle. Oklahoma City's index was also one of
the South's lowest indexes found in the report.
As for labor, this market is home to more than 100,000
college students, so labor availability simply regenerates
each and every year. Besides, you can't place second in
the major market category (see SB&D 100 section in this
edition) without having highly skilled and available labor.
For more information on Oklahoma City and the opportunities
it provides for automotive suppliers, call the Greater Oklahoma
City Chamber of Commerce at 1-800-616-1114 or 405-297-8900.
You can look them up on the Web at www.okcchamber.com
SOUTH CAROLINA
Sumter, South Carolina
The automotive business in Sumter got its start in 1965
when Exide (now Enersys) built a plant to manufacture batteries.
Enersys continues to make batteries in Sumter today. The
plant was a milestone for the former farming community of
100,000, because the new facility signified Sumter's entry
into manufacturing sectors that for the first time were
non-agriculture related.
Two new Kaydon plants broke ground in Sumter in the 1970s,
supplying precision bearings to the auto industry. But it
wasn't until Allied Signal (now Bosch) brought an auto brakes
plant to Sumter in 1981 that the auto industry really began
to take off. Bosch liked the community so much it built
a second plant just a couple of years later. And it has
lead to numerous spin-offs, creating a cluster of automotive
industries in Sumter.
Companies involved in automotive like Armoloy, Carolina
Filters, Sumter Packaging, EMS-Chemie, Jemison-Demsey metals
and Midwest Stamping have opened facilities in Sumter. Today
there are 15 plants and about 2,600 employees in the auto
industry in Sumter, which is about 20 percent of the manufacturing
work force.
Aiken/Edgefield Counties, South Carolina
Well-Positioned for Automotive Suppliers
This South Carolina location, which sits directly on Interstate
20 near Augusta, Ga., is within one day's drive to over
1,000 automotive assemblers and suppliers. Aiken/Edgefield
is well positioned for automotive suppliers. In fact, suppliers
for BMW, Honda, Daimler and others are either currently
operating in the area or are in the process of choosing
a site.
In the Aiken area, the largest supplier of major automotive
manufacturers is Bridgestone/Firestone. Even though the
company has had its difficulties, production at the Aiken
plant is high and because of the company's new equipment
and a skilled work force, the product from this plant is
exceptional. Bridgestone supplies both domestic and foreign
automotive manufacturers from this location.
The Bridgestone Aiken plant, located in Sage Mill Industrial
Park, has the distinction of being the fastest startup of
any major tire producer in the world. That is indicative
of the cooperation of the local community, the state of
South Carolina and the regulatory agencies and their commitment
to business.
Other automotive suppliers in Aiken and Edgefield counties
include SKF, USA, Rieter Automotive, Carlisle Engineered
Products and Newman Technology, a Japanese company. SKF,
a Swedish company that is also located in the 1,700-acre
Sage Mill Park, is a major supplier to several automakers
with wheel hub assemblies and various parts.
Another attractive item about Aiken and Edgefield is low
unionization rates. Edgefield County has no unionized manufacturing
plants and there are no unionized automotive suppliers in
Aiken. The exceptional productivity of the local workers
in relation to other areas of the U.S. has been attested
to by new industries and those who have been in the area
for decades. A new resource suppliers can use in the area
is the manufacturing center located at Aiken Technical College.
The center was built to service the needs of the manufacturing
companies in the area with modern facilities and equipment.
This center is just another reason why Aiken/Edgefield is
one of the South's best automotive supplier locations.
For more information on Aiken and Edgefield Counties, contact
Fred Humes at 803-648-3362 (email: edpsc@aol.com)
or look them up on the Web at www.edpsc.org
TENNESSEE
Northeast Tennessee
A Proven Automotive Supplier Location
Northeast Tennessee, which includes the Johnson City/Kingsport/Bristol
MSA, is a proven location for suppliers to the South's automotive
and truck assembly plants. Northeast Tennessee is also one
of the South's hottest markets year-in-and-year out as evidenced
by it No. 2 ranking in the mid-market category in this year's
SB&D 100 (see section in this edition). This year marks
the third year in nine years that Northeast Tennessee has
been recognized as one of the of the top three mid-markets
in the South. It was named the top mid-market in the South
in 1996.
The Northeast Tennessee region currently features 50 companies
supplying just in time parts to the South's automotive assembly
plants. That's a lot of automotive suppliers. Everything
from Exide's batteries, Mahle's pistons, TRW's steering
systems to Superior Industries' aluminum wheels are manufactured
in Northeast Tennessee.
Attractive automotive supplier locations such as Northeast
Tennessee many times don't have available product for new
industry simply because new and expanding companies constantly
gobble it up. That's not the case in Northeast Tennessee.
There are 28 excellent buildings for sale or lease and ready
for occupancy for prospective automotive suppliers in Northeast
Tennessee.
This region is a strong manufacturing area, even though
it has a diversity that is unique to regions that depend
so strongly on manufacturing. You will find Northeast Tennessee
a superb location for your supplier operation.
For more information on Northeast Tennessee's sites for
automotive suppliers, contact Jim Anderson, CED, director
of the Northeast Tennessee Valley Regional IDA at 423-323-1203.
Shelbyville, Tennessee
Automotive Technology and Excellent Labor Make Shelbyville
a Prime Location
Located in central Tennessee, Shelbyville/Bedford County
is situated directly in the middle of several of the South's
newest and largest automotive assembly plants. Calsonic,
a manufacturer of climate control exhaust and heat exchange
systems for Nissan and other automakers, took into account
Shelbyville's excellent location and recently built its
North American manufacturing facilities there.
And what a facility it is. Robots and 1,000 employees work
in tandem in one of the most highly technical facilities
of its type in the world. High technology aside, Calsonic
officials maintain its the old fashioned work ethic of its
1,000 employees that drives the company's growth. In addition
to Calsonic, Century Mold and Eaton Corporation employ well
over 300 workers at their injection molding and truck transmission
plants.
Shelbyville has 195 acres available at its Airport Business
Park, which is located directly across from the Shelbyville
Municipal Airport. The site is located on U.S. 231, a four-lane
divided highway connecting to Interstate 24. Utilities are
on site and a complete site analysis, including soils, geology
and hydrology is available.
For more information on Shelbyville/Bedford County's sites
for automotive suppliers, contact Walter Wood, CED, executive
director of the Shelbyville/Bedford County Chamber at 931-684-3482
(email: bedfordchamber@cafes.net)
or go to www.shelbyvilletn.com
Carroll County, Tennessee
Break Out the Map -- Now this is a Strategic Supplier
Location
The location of this West Tennessee county is excellent
for suppliers to the South's automotive industry. Located
halfway between Memphis and Nashville, there are 13 auto
and truck assembly plants within a day's drive of Carroll
County. Five automotive and truck suppliers already call
Carroll County home and there are 300 acres set aside under
the county's control that can accompany five more. In addition,
in the county there are six buildings available ranging
from 40,000 square feet to 450,000 square feet.
Carroll County has been on a hot streak as of late, supporting
the fact that this is an outstanding supplier location.
More companies have selected Carroll County in the last
three years for their new plant than any other West Tennessee
county with the exception of Shelby County (Memphis). Carroll
County is also home of the single-largest manufacturing
capital investment in the history of West Tennessee, the
$240 million expansion of Norandal USA in Huntingdon.
From Carroll County, a supplier would have easy access
not only to major assembly plants in Tennessee and Kentucky,
but the new Nissan plant in Mississippi, Mercedes and Honda
in Alabama, as well as domestic plants in Missouri.
For more information on Carroll County, contact Brad Hurley
at 901-986-4664 or look them up on the World Wide Web at
www.cchamber@iswt.com
TEXAS
McAllen, Texas
McAllen, Texas - THE Automotive Supplier Area
The McAllen, Texas/Reynosa Mexico metro area is an ideal
location for automotive supplier companies to set up operations.
There are many factors that have propelled McAllen/Reynosa
into one of the premier automotive supplier areas in the
country. These are some of the same factors that earned
McAllen the "Top Middle Market" in the South award
in this year's SB&D 100 (see section in this issue).
McAllen/Reynosa is one of the most strategic locations
to supply plants in the U.S. and in Mexico while still providing
price savings for their automotive customers. According
to news releases from the U.S. automotive industry, 40%
of their work force will reach retirement age in the next
three to five years. In an already tight U.S. labor market,
this will create a real challenge for automotive suppliers.
The present unemployment rate in McAllen is 11.5% and there
is an equally high unemployment rate in Reynosa, Mexico.
McAllen/Reynosa also provides automotive companies with
a logistics advantage for shipment of product going both
North and South. Trucking and direct air freight suppliers
travel to Detroit and other automotive centers in the Midwest
as well as international air freight connections going virtually
anywhere in the world. Many McAllen-based companies ship
daily to automotive plants worldwide.
McAllen/Reynosa offers an excellent supplier base to support
the automotive industry including:
* Component manufacturing
* Tool shops
* Automation companies
* Plastic injection molding
* Metal stampings
You owe it to yourself to check out why McAllen, Texas/Reynosa,
Mexico could be the answer you have been looking for. For
more information, fill out the reader service card in the
front of the magazine, or call the McAllen Economic Development
Corporation at (956) 682-2875. You may visit their website
at: http://www.medc.org
or email them at nancyb@medc.org.
VIRGINIA
Wythe County
The intersection of I-77, I-81 and future I-74 in southwest
Virginia provides an ideal site for servicing a variety
of auto and truck assembly plants. Several auto/truck-related
manufacturing companies already have operations in the area.
The new 1,210-acre Wythe County Progress Park provides a
variety of sites, some with rail service, several of which
can accommodate buildings over one million square feet.
The park was previously identified as an ideal Super Site
by Southern Business & Development.
Due to recent relocations of some operations to Mexico
and restructuring of corporate headquarters, the region
has an unemployment rate of three times the state average
with a substantial number of skilled and experienced workers
available.
Additional key advantages for automotive suppliers are
location in an Enterprise Zone, Foreign Trade Zone proximity
and nearby Wytheville Community College, which has a strong
commitment to customized work force training. Low cost of
operations and Virginia's favorable business climate further
contribute to make Progress Park one of the best automotive
supplier locations in the American South.
Roanoke Valley, Virginia
Growing Transportation Cluster in Roanoke Valley
Why are so many transportation-related manufacturers located
in the Roanoke Valley? Its central mid-Atlantic location
that's only a day's shipping distance from most of the transportation
manufacturing centers in the U.S. is one primary reason.
Access to Virginia's Smart Road, the nation's most advanced
test bed for Intelligent Transportation Systems technology,
and Virginia Tech's Transportation Institute are two other
reasons why transportation-related companies land in Roanoke.
But the main reason why this is an excellent automotive
supplier location is because its near many of the South's
primary assembly operations and like other markets in the
South, business costs here are well below the national average.
Roanoke Valley's work force is technologically skilled,
with innovative, new work force training initiatives supplementing
a well-developed network of universities, community colleges
and public schools.
Altec Industries, Koyo Steering Systems of USA, Dynax America,
Virginia Forge, Metalsa Roanoke, Vishay Vitramon, American
Commercial Assembly, Graham-White Manufacturing and Acadia
Polymers are just some of the transportation companies making
up an impressive cluster in the Roanoke Valley. Here, everything
from power steering systems to transmission parts to vehicle
frames are manufactured or assembled, or both.
This location has become especially popular among companies
in the transportation industry because from Roanoke there
is excellent access to both Detroit and the growing Southern
Automotive Corridor. All in all, the Roanoke Valley is certainly
one of the South's best automotive supplier locations and
it seems to get better all the time.
For more information on the Roanoke Valley's sites and
opportunities for automotive suppliers, contact Phillip
F. Sparks, executive director of the Roanoke Valley Economic
Development Partnership at 1-800-LOCATE2 or visit Roanoke
Valley on the World Wide Web at www.roanoke.org
Other Great Automotive Supplier Locations in the South
Alabama: Birmingham, Clanton, Guntersville, Limestone County,
Montgomery, Tuscaloosa, St. Clair County.
Arkansas: Little Rock, Texarkana.
Georgia: Carrollton, Columbus, Rome.
Kansas: Kansas City, Wichita.
Kentucky: Danville, Elizabethtown, Glasgow, Lexington,
Louisville, Shelbyville, Somerset.
Louisiana: Bossier City, Minden, Monroe.
Maryland: Washington County.
Mississippi: Batesville, Granada, Kosciusko, Tupelo, Yazoo
City, Winona. Missouri: Kansas City, St. Louis.
North Carolina: Charlotte, Hickory, Salisbury, Winston-Salem.
Oklahoma: Lawton.
South Carolina: Anderson, Columbia, Greenwood, Orangeburg,
Spartanburg.
Tennessee: Coffee County, Jackson, Maury County, McMinn
County, Rutherford County, Winchester County.
Texas: Dallas/Fort Worth, Kilgore, Longview, Marshall,
Sherman, Tyler.
Virginia: Christianburg, Danville, Hampton Roads, Lynchburg,
Martinsburg. West Virginia: Charleston, Putnam County.
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