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Commerce Reports Record Investment for New Companies Coming to SC

Contact:
Karen Owens, SC Department of Commerce
803.737.2166

Date:
02/08/2006

Commerce Reports Record Investment for New Companies Coming to SC

At Three-Year Point, Sanford Administration Has Recruited More New Jobs, New Investment than Predecessors

Columbia, SC - With the release of its 2005 Capital Investment Report, the South Carolina Department of Commerce reported that 2005 was another successful year recruiting new business to South Carolina, with new companies entering the state announcing record-setting investments of more than $1.27 billion, the highest new investment total since the Department of Commerce was formed in 1991.

Looking at the investment and job totals for the first three years in office, the Sanford administration has recruited more new jobs and new investment to the state than the three South Carolina governors who preceded him during the comparable three-year periods. Total new jobs recruited to the state for 2003-2005 were 16,969 as compared to 13,238 jobs (1999-2001), 16,388 jobs (1995-1997) and 10,775 jobs (1991-1993). New capital investment for the same periods totaled $2.65 billion, $1.03 billion, $2.49 billion and $2.06 billion, respectively.

Furthermore, according to the Bureau of Labor Statistics’ most recent employment numbers, there are 95,692 more people employed in South Carolina at the end of the comparable three-year period (December 2002 - December 2005) than when the Sanford administration began.

“This record-breaking progress announced today demonstrates that our efforts to improve the soil conditions for businesses in South Carolina are paying real dividends in terms of recruiting higher paying jobs,” said Gov. Mark Sanford. “We’re going to continue bettering our state’s business climate so we can not only continue bringing new jobs to our state, but grow existing business as well."

In addition, Commerce reports significant efforts in raising the state’s income levels. According to Secretary of Commerce Bob Faith, new jobs recruited to the state pay on average $39,283, which is 45% higher than the state’s per capita income of $27,153. This also represents a 13% increase from 2004 reported wages.

In 2005, Commerce made 137 announcements of new business entering the state and existing industry expansions, with investments in excess of $2.66 billion and more than 12,000 new jobs created. Rural communities also made significant strides in 2005, with 46 announcements resulting in $1.16 billion in investment and creating 3,685 jobs.

“We were successful in building on the momentum we created in 2004 to secure the knowledge-based, high technology jobs that we’re targeting to diversify and solidify our state’s economy for the long-term,” Faith said. “These types of jobs pay higher wages that will enable us to make real progress on our efforts to raise income levels in South Carolina and positively impact our citizens’ quality of life.”

Some of the new companies joining South Carolina"s business community in 2005 include DaimlerChrysler, Urban Outfitters, QVC, LSP Automotive Systems, HSBC and Grant Forest Products.

Another component of Commerce’s economic development strategy is to work with the state’s existing industry to ensure their continued growth and prosperity. About 60% of new investment and jobs announced in 2005 came from existing industry, for $1.39 billion and almost 5,600 jobs. Among existing industry announcing expansions and upgrades in 2005 were Michelin, Avery Dennison, MeadWestvaco, SC Yutaka Technologies, Draexlmaier Automotive and Scout Boats.

You can find more information at www.SCCommerce.com.