Press release from the Tennessee Department of Economic and Community Development; October 31, 2014:
2014 Global Location Trends Annual Report Measures Number of Jobs Created from FDI
NASHVILLE – Tennessee was ranked the top state in the nation for foreign direct investment (FDI) job commitments in 2013 according to the recently released 2014 Global Location Trends report. The annual report from the IBM Institute for Business Value measured the number of jobs created by foreign-owned companies in each state during the 2013 calendar year. Following Tennessee in the rankings were Texas, Georgia and Ohio.
“Our number one ranking by the IBM Institute has validated the significant focus and effort we have put toward the recruitment of international companies to Tennessee,” Hagerty said. “Governor Haslam has invested significant time in what has proven to be the most successful international recruitment program in the nation.
“I couldn’t be more proud of our department and all of our partners throughout the state who have pulled together to drive us toward the goal of being number one. The recognition is well-deserved,” Hagerty added.
“Tennessee is clearly an attractive place for foreign-owned companies to invest,” Roel Spee, Global Leader, IBM Plant Location International. “The state’s first place ranking illustrates just how strong a competitor Tennessee is in the global marketplace and the momentum the state possesses in recruiting new foreign investment projects.”
The Volunteer State is home to 864 foreign-based establishments that have invested over $30.1 billion in capital and employ more than 116,000 Tennesseans. The state’s top 10 countries for FDI include Japan, Germany, Canada, United Kingdom, South Korea, France, Italy, Switzerland, Sweden and Belgium.
In 2013 alone, Tennessee Department of Economic and Community Development projects accounted for 52 commitments from foreign-owned businesses that created 9,215 jobs and $1.68 billion in capital investment. This FDI accounted for nearly 40 percent of all Tennessee’s new jobs committed last year and nearly one-third of all capital investment committed in the state. Major foreign projects in 2013 included South Korean-owned Hankook Tire Co. (1,800 new jobs, $800 million investment), Japanese-owned Calsonic Kansei North America (1,200 new jobs, $109.6 capital investment) and Swiss-owned UBS (1,000 new jobs, $36.5 million capital investment).
In February 2013, TNECD announced a new international strategy focused on proactively identifying and recruiting new foreign direct investment into the state in addition to increasing Tennessee exports. The state has established investment recruitment offices in Canada and Japan with export assistance offices in Mexico, the United Kingdom, the European Union and China.
The report found the United States was the top destination country in the world for FDI with the overall number of jobs created from foreign investment growing by 6 percent compared to 2012 levels along with significant increases in production and R&D activities.
Global Location Trends Reports are prepared based on analysis of data from IBM’s proprietary Global Investment Locations Database (GILD). These reports present and analyze the latest trends in corporate location selection around the world, and are the most realistic and up-to-date reflection of expansion and relocation behavior of companies, as well as the degree in which countries and regions around the world are successful in attracting new business.