May 13, 2024 - Southern Business & Development

From anonymity to Montgomery Whitewater, winning the $800 million Meta data center took Alabama teamwork

Posted on May 13, 2024October 25, 2024 by Michael Randle

Bringing the $800 million Meta data center and its 100 jobs to Montgomery took connection through anonymity, teamwork, a whitewater park and some heavy lifting by Alabama Power.

Meta Platforms announced Thursday that it will build the 715,000-square-foot data center on a 1,500-acre site across Interstate 65 from the Hyundai Motor Manufacturing Alabama plant in Montgomery.

Two of Meta’s 20 data centers will be in the state, and the company said Gov. Kay Ivey is the first governor to ever be at two Meta data center announcements. Meta also has a data center in Huntsville.

“Meta has once again sent a friend request to Alabama and, folks, we are happy to accept,” Ivey said at the announcement, which was held at Montgomery Whitewater.

Menlo Park, California-based Meta operates Facebook, Instagram, Threads and WhatsApp, among other products and services. Meta data centers are a key part of the global infrastructure that brings these technologies and services to life.

“Montgomery is the perfect home for Meta,” Brad Davis, director of Community and Economic Development at Meta, said. “It offers so much. Great access to infrastructure and renewable energy, a strong pool of talent and most importantly, a great set of community partners who have helped us move this project forward quickly. You all have been amazing from the beginning, and we thank you.”

Alabama News Center

‘Why is the South so afraid of unions?’ Alabama House debate stirs passion ahead of UAW push

Posted on May 13, 2024October 25, 2024 by Michael Randle

Alabama lawmakers are poised to adopt a measure Democratic critics derided Tuesday as “anti-union” amid a rising current of unionization efforts at automobile manufacturers including a crucial vote next week at a Mercedes Benz plant in Vance.

Alabama Gov. Kay Ivey could soon sign SB231, after it received a 72-29 vote on the Alabama House floor following a spirited debate that included jabs at Alabama’s history toward thwarting unionizing efforts.

It was the second time in two weeks that the House debated and voted on the bill, as Tuesday’s version is considered a final version adopted out of a join House and Senate conference committee.

Alabama is one of 27 “right-to-work” states, allowing employees to refrain from union membership. The state enshrined its pushback from unions in 2016, when voters overwhelmingly approved a constitutional amendment that guarantees that workers in Alabama cannot be forced to join labor groups or pay dues, even if their employer is unionized.

AL.com

How the Alabama Mercedes union fight is playing out on dueling websites

Posted on May 13, 2024October 25, 2024 by Michael Randle

With less than a week to go before Mercedes-Benz workers in Alabama vote on joining the United Auto Workers, the fight to win hearts and minds is playing out on pro-and anti-union websites.

Next week, workers in Vance will vote on union membership May 13-17, with vote totals available that Friday.

The vote comes after 5,200 workers at the plant signed union cards, requesting the National Labor Relations Board conduct an election.

Using cyberspace as a virtual union rally – or counter demonstration – is not new.

It’s a pattern that first played out three years ago in Alabama, when Amazon workers in Bessemer voted on joining the Retail, Wholesale & Department Store Union (RWDSU).

The union – and some affiliated pro-labor groups – packaged content, videos and FAQs into sharable tweets and social media posts. Amazon countered with a pro-company website, encouraging workers to “Do It Without Dues.”

AL.com

Mercedes-Benz denies Alabama union-busting activities at shareholders meeting

Posted on May 13, 2024October 25, 2024 by Michael Randle

A Mercedes-Benz board member Wednesday denied claims the company is actively resisting efforts to organize workers at the automakers Tuscaloosa County manufacturing plant.

Reuters is reporting the company, however, would not comment on whether it has hired a specific “union busting” consultant as it prepares for a vote next week on employees joining the United Auto Workers (UAW).

The Mercedes-Benz group “respects the decision of the employees to establish a trade union organization, and it will monitor the election process and will make sure that every team member has the opportunity to cast a secret vote,” board member Renata Jungo Bruengger said at the annual shareholders’ meeting in Germany.

Next week’s vote will begin on Monday, with final results due on Friday.

The news agency reported that Jeremy Kimbrell, a union supporter at the Vance factory, said Mercedes had hired anti-union consultancy RWP, which has been linked to anti-union campaigns with companies such as Amazon.

A representative of Germany’s Association of Critical Shareholders (DKA), representing small investors on environmental, social and governance issues, read out the claims at the meeting.

AL.com

Australian company strikes land deal for $289 million Ascension, La. EV battery material plant

Posted on May 13, 2024October 25, 2024 by Michael Randle

An Australian mining company that is considering building a $289 million plant to make electric battery components said it has secured a 35-acre site in Ascension Parish.

Element 25 said it expects to sign a definitive agreement for the property by June 30. It is located in Burnside, next to the Veolia North America sulfuric acid regeneration plant. Element 25 is buying the land from Veolia and will purchase sulfuric acid from the company.

Justin Brown, managing director for Element 25 said in a statement the Veolia site meets the requirements for the company to build the plant.

The plant would be the first in the Western Hemisphere to manufacture high-purity manganese sulphate monohydrate, or HPMSM, a critical component in electric vehicle batteries. A higher manganese content in batteries can lead to a better life spans and charging times, Element 25’s website says.

NOLA.com

Oracle plans ‘world headquarters’ in Nashville after moving HQ to Austin in 2020

Posted on May 13, 2024October 25, 2024 by Michael Randle

Software giant Oracle Corp. may move its world headquarters from Austin to Nashville in a bid to seize on the Tennessee capital’s budding health care sector, co-founder Larry Ellison announced at the company’s health care summit Tuesday.

During a conversation with former U.S. Senate Majority Leader Bill Frist, Ellison said the world’s second-largest tech company is developing a health campus in Nashville that will “ultimately be our world headquarters,” according to reporting by The Tennessean, part of the USA TODAY Network.

In Nashville, Oracle is developing a 70-acre property on the city’s downtown riverfront. Oracle officials have previously said the Nashville and Austin campuses will both be U.S. headquarters locations, according to The Tennessean. The company pledged to create 8,500 jobs by 2031 as part of a $1.35 billion office development in Nashville, according to the Nashville Business Journal.

Austin American Statesman

Zekelman Industries Unveils $120 Million Investment in Mississippi County, Ark.

Posted on May 13, 2024October 25, 2024 by Michael Randle

Zekelman Industries, the largest independent steel pipe and tube manufacturer in North America, will invest up to $120 million to expand the manufacturing capabilities and product offerings of its subsidiary, Atlas Tube, in Mississippi County. The project will bring Zekelman’s total number of employees in the area to more than 300. During the unveiling, the manufacturer also announced it will partner with Arkansas Northeastern College on a new workforce training initiative.

“Education and skills training are crucial to developing the next generation of workers. Our goal at Zekelman is to prepare, nurture and inspire students entering the thriving and well-paying steel industry,” said Tom Muth, chief operating officer. “Our commitment is representative of our partnership with the Blytheville community and ongoing dedication to domestic-only manufacturing. We are particularly grateful to Mayor Logan and Mississippi County for their continued support.”

The leading manufacturer of hollow structural sections and steel pipe, Zekelman currently operates two Atlas Tube facilities in Blytheville. Its new project will allow it to manufacture inline steel tube galvanizing products in size ranges not currently available in North America. Arkansas EDC

Bekaert Expands Manufacturing Facility in Van Buren, Arkansas

Posted on May 13, 2024October 25, 2024 by Michael Randle

Bekaert Corporation is expanding its manufacturing facility in Van Buren, creating 38 new jobs in the region. Company executives, state officials, and local leaders gathered in Van Buren on Wednesday to announce the expansion.

As part of the expansion, the company is investing in the Van Buren factory to purchase new manufacturing equipment. This equipment will be used for supporting the electrical grid and telecommunications industries.

“Bekaert is thankful for the recognition and support of the AEDC, and many other leaders, to invest in the Van Buren community,” said Bryan Sullivan, vice president of steel wire solutions for Bekaert. “With this investment the community will see additional jobs, enhanced training and an advancement of manufacturing capabilities. Bekaert is proud to support not just the local community but our national community as well. The investment will be used to reenforce the backbone of the electrical grid, enhance access to renewable energy and bridge the digital divide in the US today. Thank you to the AEDC and all the Arkansas leaders who have made this possible.”

A global leader in the steel wire transformation and coating technology sector, Bekaert produces steel wire and strands at the Van Buren facility. The company has operated in Van Buren since 1970. Arkansas EDC

Gov. Beshear: Kentucky No. 2 in South Central Region for 2024 National Economic Development Rankings

Posted on May 13, 2024October 25, 2024 by Michael Randle

FRANKFORT, Ky. (May 9, 2024) – Today, Gov. Andy Beshear highlighted new recognition of Kentucky’s economic success as Site Selection magazine placed the commonwealth at No. 2 in the South Central region of its 2024 Prosperity Cup rankings. Kentucky also placed No. 8 nationally, maintaining a top 10 ranking in every year of the Beshear-Coleman administration.

“Kentucky has placed strongly in this and other recent rankings for economic growth, and that showcases what we already know: The commonwealth is the best place to do business,” said Gov. Beshear. “These rankings highlight the success we have had statewide and the major investment and job creation projects the state continues to attract. We still have work to do to meet our goals, but our efforts are gaining recognition at the national and international level. That success is due to the tremendous work of everyone who is a part of Team Kentucky.”

The Prosperity Cup recognizes the competitiveness of state-level economic development agencies and their success in landing capital investment projects according to data from 2023. It includes new and expanded facilities, total capital investment, new jobs created, corporate real estate rankings, state tax climate and the number of National Career Readiness Certificates per capita.

These rankings follow the announcement of 180 private-sector new-location and expansion projects in 2023.

Those projects totaled over $4.6 billion in announced investments and more than 8,500 jobs. Among the announced projects:

North American Stainless, which in January announced a $244 million expansion to its Ghent facility, creating 70 new full-time jobs in the Carroll County area.
Toyota Motor Manufacturing, Kentucky, which in May committed to retaining 700 full-time Kentucky jobs and investing $591 million to establish the company’s first U.S.-assembled battery electric vehicle in Georgetown.
Toyota Boshoku America, which in October celebrated the announcement of the company’s new $225 million “smart plant” in Hopkinsville, a project creating 157 new quality jobs for Kentuckians.

Stellar Snacks, which in October announced the largest economic development project in West Louisville in over 20 years, a $137 million investment creating 350 full-time Kentucky jobs at the new pretzel manufacturing facility.
INFAC North America, which in June broke ground on a $53 million expansion of its automotive-related manufacturing facility in Campbellsville, creating 220 Kentucky jobs.

Earlier this year, the publication announced Kentucky’s strong placement in Site Selection magazine’s 2023 Governor’s Cup rankings, coming in third nationally in economic projects per capita and first in the South Central region. The commonwealth also secured the second spot in the South Central region for overall projects, building on the previous year’s strong rankings. Kentucky has placed in the top 3 nationally and atop the South Central region in the per capita rankings each year of the administration.

Kentucky’s top 10 placement in the 2024 Prosperity Cup rankings builds on the best four-year period for economic growth in state history.

Since the beginning of his administration, Gov. Beshear has announced more than 1,000 private-sector new-location and expansion projects totaling over $30.6 billion in announced investments, creating more than 52,500 jobs. This is the highest investment figure secured during the tenure of any governor in the commonwealth’s history.

The robust job creation has been accompanied by rising wages across the commonwealth. The average incentivized hourly wage in 2022 and 2023 topped $26 in consecutive years for the first time.

Gov. Beshear has announced some of the largest economic development projects in state history, which have solidified Kentucky as the electric vehicle battery production capital of the United States: Ford Motor Co. and SK On’s transformative $5.8 billion, 5,000-job BlueOval SK Battery Park in Hardin County; AESC’s $2 billion, 2,000-job gigafactory project in Warren County; Toyota’s $1.3 billion investment in Scott County; and INFAC North America’s $53 million investment in Taylor County, among others.

The Governor’s administration also secured the largest General Fund budget surplus and Rainy Day Fund, as well as the most jobs filled in state history. Last year, Kentucky set the record for the longest period with the lowest unemployment rates in state history.

Kentucky also secured rating increases from major credit rating agencies Fitch Ratings and S&P Global Ratings, and Moody’s Investors Service upgraded Kentucky’s credit outlook from stable to positive.

Gov. Beshear announced a “Supply Kentucky” initiative with the goal of boosting job growth, reducing costs and providing more security in the supply chains of our Kentucky companies.

For the full 2023 Prosperity Cup rankings and more information on methodology, visit SiteSelection.com.

Clark Gas plans distribution facility in project creating 40 jobs in Thomasville

Posted on May 13, 2024October 25, 2024 by Michael Randle

THOMASVILLE, Alabama — Florence-based Clark Gas Co. Propane Cylinder Exchange plans to invest $10 million in a new distribution hub in Clarke County, creating up to 40 jobs over the next three years.

Clark Gas has purchased a 50,000-square-foot building, owned by the City of Thomasville’s Industrial Board and located in the South Thomasville Industrial Park, as the home of the new distribution center.

The new facility will serve seven to eight regional warehouses in as many as four states.

“We have been strategically planning this expansion for many years,” Jack Clark of Clark Gas said. “When we looked at a map of Southwest Alabama, we thought Thomasville would be the best location for our new distribution center.

Alabama Department of Commerce