Q3, 2019

[Pages:5]Q3, 2019

THIRD QUARTER 2019 CHARLOTTE REGION GROWTH REPORT

Fintech growth powers strong third quarter

Tech and finance continue to grow together in the Charlotte Region. Three financial services companies announced they would add 1,400 jobs over the next five years, and most of those will be in tech or tech- related. Digital mortgage platform plans to hire 1,000 in Charlotte, on the heels of a new direct-to-consumer mortgage partnership with Ally, which employs more than 1,300 in the Charlotte Region. Mitsubishi UFJ Financial Group announced the addition of 300 new jobs, and research and software firm Moody's announced it would add 100. Other financial announcements include JPMorgan Chase's retail expansion and the opening of U.S. Bank's first retail branch in Charlotte. JPMorgan Chase is the United States' largest bank by total assets and US Bank is the nation's seventh largest.

The Charlotte Region's manufacturing growth remained strong, despite the Institute of Supply Management's Manufacturing Index showing a slowdown in manufacturing productivity during the quarter. Employment in manufacturing grew 2.3 percent year over year, aided by strong foreign direct investment and exports growth. Newly released data from the International Trade Administration showed the value of the Charlotte Region's goods exports increased by 7.3 percent annually in 2018. Growth across all categories of exports was strong, particularly machinery manufacturing, which saw a 15 percent increase to $3.6 billion and chemical manufacturing, which increased 9 percent to $2.3 billion. Announcements from Innospec Performance Chemicals, adding 25 jobs in Rowan County, and Cataler, investing $14.8 million in its Lincoln County catalytic converter production facility, bolster both sectors in the Charlotte Region. In Lancaster County, Adornus Cabinetry announced plans to add 210 jobs. In Cabarrus County, Carvana announced plans to add 413 jobs at a new inspection center at The Grounds at Concord mega-site.

In Mecklenburg County, Columbus McKinnon, which manufactures motion-control systems for cranes, announced plans to open its global Research and Development Center, one example of the merger of technological and engineering talent possible in the Charlotte Region.

- Chuck McShane, Ph.D., Vice President of Business Analytics and Data

DEFINITIONS

Net New Jobs ? The sum of all jobs added minus all jobs lost during the quarter or year specified. (Source: QCEW and JobsEQ)

Announced Jobs ?Jobs related to economic development announcements in the specified quarter. Typically projected to be filled in the next three to five years (Source: Companies, County Economic Development Offices)

Capital Investment ? Capital investment related to economic development announcements in the specified quarter. Typically projected to occur in the next three to five years (Source: Companies, County Economic Development Offices)

International Projects ? Economic development announcements by a company with ultimate parent company with more than 50 percent of ownership based outside the United States. (Source: Companies, County Economic Development Offices)

Target Industries ? A cluster of related business types in which the Charlotte Region has a competitive advantage. (Source: North American Industry Classification System via JobsEQ)

NOTE: The Charlotte Regional Business Alliance's Growth Report methodology has changed to reflect the new regional mission of the Alliance. The report no longer includes retail or restaurant openings and should not be used for historical comparison with the former Charlotte Chamber's Quarterly New and Expanded Report.

2 |

THE GROWTH REPORT | Q3 2019

THIRD QUARTER HIGHLIGHTS

Source: JobsEQ; 4-quarter rolling average

Source: International Trade Administration Data, 2018

Source: Charlotte Regional Business Alliance and County EDCs Research

Source: Charlotte Regional Business Alliance and County EDCs Research

TARGET INDUSTRY GROWTH

NET NEW JOBS PER QUARTER

Q3 2018

Q4 2018

Q1 2019

Q2 2019

Q3 2019

7,691

8,061

7,550

6,621

7,435

Source: JobsEQ estimates

Steady but slightly slower job growth has been the general trend through 2019 as the economy enters its second straight year of sub-4% unemployment.

Growth in the tech and logistics sector substantially outpaced overall growth and other target sectors.

1-Year Growth Rate for Target Industries, Charlotte Region, Q3 2019

Transportation & Logistics

6.7%

Tech

4.7%

Financial Services

Advanced Manufacturing

Health Care

2.5% 2.3% 2.3%

Total - All Industries

2.1%

0%

1%

2%

3%

4%

5%

6%

7%

Source: Charlotte Regional Business Alliance analysis of U.S. Bureau of Labor Statistics Data

THE GROWTH REPORT | Q3 2019

| 3

3.2%

3.0%

2.9%

Overall Annual Job Growth

2.2%

2.1%

2.1%

1.9%

1.8%

1.6%

1.3%

1.1%

1.0%

Austin

Phoenix Nashville Jacksonville Dallas

Charlotte Region

Denver

Tampa

Atlanta

US

Columbus Minneapolis

Tech Talent Pool Job Growth

7.2%

5.3%

5.2% 4.7% 4.7%

4.1%

3.4%

3.2%

3.0%

2.6%

2.2%

1.3%

Austin

Dallas

Denver Charlotte Phoenix Nashville

US

Region

Tampa Jacksonville Atlanta Minneapolis Columbus

3.4% 3.2%

Nashville

Tampa

Financial Services Job Growth

2.6%

2.5% 2.5%

1.9%

1.8%

0.6% 0.4%

Phoenix Charlotte Austin Minneapolis Dallas

Denver

US

Region

0.1%

0.0%

-1.8%

Atlanta Columbus Jacksonville

4 |

THE GROWTH REPORT | Q3 2019

Charlotte's rapid job growth is undeniable. Still, to stay informed on regional competitiveness, it's important to benchmark against peer regions. In this third quarter edition of the Charlotte Region Growth report we compare Charlotte to a set of 10 peer and competitor regions and the national average in overall job growth and growth across five target sectors. Charlotte beats the national average in all categories and shows particular strength in Financial Services and Tech Talent growth. *All statistics from Q3 2018 - Q3 2019)

Advanced Manufacturing Job Growth

3.6%

3.4%

3.0%

2.7%

2.4% 2.3% 2.3%

2.0%

1.9%

1.9%

1.9%

Austin

Phoenix

Tampa

Atlanta

Dallas

Charlotte Jacksonville

US

Region

-0.5%

Denver Columbus Minneapolis Nashville

15.6%

12.3%

Transportation and Logistics Job Growth

8.8%

6.7% 5.7%

5.4%

5.3%

4.2%

4.1%

3.8%

3.0%

1.1%

Nashville Phoenix Columbus Charlotte Austin Jacksonville Denver

Atlanta

Tampa

US

Dallas Minneapolis

Region

Health Care Job Growth

4.2%

3.8%

3.4%

2.7%

2.4%

2.3% 2.3%

1.8%

1.8%

1.6%

1.5%

1.3%

Phoenix

Atlanta

Austin

Nashville

Columbus Jacksonville Charlotte Region

Tampa

Dallas

US

Denver Minneapolis

THE GROWTH REPORT | Q3 2019

| 5

THIRD QUARTER MAJOR ANNOUNCEMENTS

25 Jobs ? $3.1M Lincoln

95 Jobs ? $3M Iredell

37 Jobs ? $2.2M Iredell

Alexander County Taylorsville

77

Iredell County

60 Jobs ? $28M Iredell

30 Jobs ? $12M Rowan

3 Jobs ? $14.8M Lincoln

Hickory

40

Newton

Catawba County

321

Statesville Mooresville

Salisbury

85 Rowan County

35 Jobs ? $45M Rowan

Lincolnton

Lincoln County

Kannapolis

74

Shelby

Cleveland County

25 Jobs ? $42M Mecklenburg

Huntersville

Concord Cabarrus County

Albemarle

85

Gastonia

Stanly County

Gaston County 485

Charlotte Mint Hill

Mecklenburg County

York County

Fort Mill

Indian Trail Union County

Anson County

Rock Hill

Indian Land Waxhaw

74

Monroe

NC

77 Chester County

Lancaster County

SC Pageland

413 Jobs ? $33M Cabarrus

1,000 Jobs Mecklenburg

21 Jobs ? $1M Mecklenburg

Chester

Lancaster

Chesterfield County

25 Jobs ? $3.1M Mecklenburg

60 Jobs ? $7M Chester

6 |

210 Jobs ? $10M Lancaster

46 Jobs ? $1.5M Chesterfield

1,000 Jobs Mecklenburg

30 Jobs Mecklenburg

THE GROWTH REPORT | Q3 2019

INTERNATIONAL PROJECTS | Q1-Q3 2019

COUNTRY

PROJECTS

Japan

3

Canada

3

Germany

3

Latvia

1

Portugal

1

United Kingdom

1

Finland

1

Italy

1

Israel

1

Total

15

THE GROWTH REPORT | Q3 2019

JOBS 415 102 55 100 40 30 25 15 10 792

INVESTMENT $29.8M $8.6M $49.5M TBA TBA $42 $3.5M $2.6M TBA $136M

| 7

ECONOMIC DEVELOPMENT PROJECT ACTIVITY

Economic Development activity and jobs announcements continued to pick up in the third quarter of 2019 with nearly 4,000 jobs landed, including 1,000-job announcements from and Chime Solutions.

Q3 2019

Q2 2019

PROJECTS

24

JOBS

3,891

PROJECTS

13

JOBS

3,431

CAPITAL INVESTMENT

$221.7M

Q1 2019

PROJECTS

25

JOBS

909

CAPITAL INVESTMENT

$250.1M

Q4 2018

PROJECTS

38

JOBS

5,699

CAPITAL INVESTMENT

$93.6M

CAPITAL INVESTMENT

$613.3M

PROJECTS

JOBS

CAPITAL INVESTMENT

100 13,930

$1.2B

THE GROWTH REPORT | Q3

| 8

 ................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download