How advanced manufacturing has evolved over the years in North Carolina

Manufacturing has drastically changed in North Carolina over the years from tobacco and textiles to featuring some of the most innovative advanced approaches in the country for industries such as biotechnology, plastics and chemicals.

In fact, according to the Economic Development Corporation of North Carolina, the state is able to boast about these stats:

One of the reasons for these statistics and momentum is the resurgence of advanced manufacturing, which is the use of sophisticated, technologically advanced equipment to assist in the processes used to make a product.

“Manufacturing in general is making a comeback and has been for the last few years,” said Will Henderson, Executive Vice President for CBRE.

The biggest reason for that, according to Henderson, a commercial real estate broker at CBRE|Triad since 2014, are supply chain constraints.

“It has become increasingly more difficult to get materials from overseas to the U.S. in a timely, cost-effective manner," he said. "This has created the need for many companies to bring their manufacturing back to the U.S.”

Dodson Schenck, Managing Director of Industrial Services for CBRE in Greensboro and Raleigh, said when the supply chain was working well, manufacturing on the other side of the world worked well, too.

"We all saw how disrupted supply chains became. And now we are seeing manufacturing being done domestically. A lot of companies always have or will continue to have a presence overseas, but we are seeing an important emphasis on having a presence in North America," said Schenck.

The Economic Development Corporation of North Carolina points to a few factors that are driving the impressive growth in advanced manufacturing:

Henderson, who has represented manufacturers, distributors and developers throughout the Triad region, said the quality of life in North Carolina also plays a big role in attracting companies and workers.

"We live in arguably the best state in the country," he said. "You have the best beaches, beautiful mountains and get to experience all four seasons. Between our cost of living, quality of life, both public education and higher education, it is a great place to live and do business."

He noted the state has one of the most attractive corporate tax structures in the country.

When it comes to the growth specifically in advanced manufacturing, Electric Vehicle (EV) production has been a big part of that story.

"The shift to more cars becoming electric has created the need for new manufacturing operations across the country as well as locally," Henderson said.

Henderson, who has a specific focus in the industrial sector with his role at CBRE, added that chip manufacturers who support the auto industry are also adding facilities to meet the needs in the U.S.

Toyota’s EV Plant, Wolfspeed, VinFast, and Boom Supersonic, are all companies that will be offering advanced manufacturing in the state. "All four of these companies have made announcements within the past year to bring new and innovative jobs to the region," he said.

CBRE|Triad has identified sites and buildings for some of these companies that have relocated their operations to the state. The impact and importance of that decision is one of the reasons that Henderson loves his job. He said, "One of the most rewarding attributes of what we do is helping a company identify their next location and assisting through the process, so they are in a position to be successful for years to come."