Manufacturing Growth in South Carolina
South Carolina has a long history of automotive manufacturing and this state has been influenced by the positive increases in the growth of domestic manufacturing. According to a recent report April has shown improved manufacturing for a third straight month. The Institute for Supply Management said national factory activity rose from 53.7 in March to 54.9 in April. There have been a number of expansions announced by major automotive manufacturers in South Carolina and it is estimated that overall manufacturing will continue to grow in the coming months. Interesting enough South Carolina is home to over 250 different automotive manufacturing facilities and there are a number of factors that contribute to South Carolina’s appeal for these automotive companies.
One of the major reasons why South Carolina attracts companies such as automotive manufacturers is due to the fact that South Carolina offers a pro-business environment with low corporate tax rates as well as high competitive wages. There are also a wide range of tax incentives for growing businesses and even affordable energy is considered a main factor for companies to set up shop in South Carolina. This state is known for offering industrial electricity rates at about 12% less compared to the national average.
Even though energy costs are already lower the national average South Carolina is still looking for ways to lower costs. There has been a push to increase the development of offshore energy harvesting. A research study estimates that the energy can generate nearly $2.7 billion per year by 2035. The study predicts by increasing the production of the oil and natural gas in the waters off the coast of South Carolina will result in a drastic increase of jobs for South Carolina’s but also reduce overall energy costs for the entire state.
South Carolina is also known for supporting their small and mid-size businesses. One program that has assisted with South Carolina business is known as the South Carolina Manufacturing Extension Partnership. This program is designed to help bolster companies to have better access to the latest manufacturing methods, tools and other items to improve their overall global competitiveness. This organization helps find issues that may be hindering economic growth for a company as well as determining the best steps for creating a plan to increase efficiency. The SCMEP even offers a one-day Competitiveness Review for no cost. No matter the size of the company, any business can find benefits when they select South Carolina as their home state.