Manufacturing remains ‘driving force’ in South Carolina economy

(The Center Square) – South Carolina’s 5,290 manufacturers deliver up to $206 billion a year in economic impact to the state, sustaining 700,000 jobs that pay $36 billion in annual wages, a recent study sponsored by the South Carolina Manufacturers Alliance (SCMA) said.

The 40-page economic impact study, produced by SC Future Makers, a workforce nonprofit affiliated with the SCMA, maintains manufacturing either directly or indirectly supported 30% of Palmetto State jobs and more than 15% of about 350,000 private-sector jobs created in South Carolina between 2010-19 have been in manufacturing.

“The manufacturing industry has been the driving force of our state’s economy for over a century,” SCMA President and CEO Sara Hazzard said. “The value and promise that American manufacturing provides is South Carolina’s story. Ours is an industry that offers great careers, drives innovation, transforms communities for the better, and creates lasting impacts that benefit all South Carolinians.”

SC Future Makers maintains in its study that, “Throughout the last decade, South Carolina has consistently outpaced the United States in its rate of economic growth and has seen its total dollar volume of exports grow at about twice the rate as that of imports. Both trends are largely the result of the state’s rapidly expanding manufacturing base.”

Among the study’s findings:

• South Carolina’s manufacturing economic impact totals between $194 billion and $206 billion annually. This corresponds to between 662,391 and 703,081 jobs, and between $34 billion and $37 billion in labor income for South Carolinians;

• 16% of South Carolina’s GDP is associated with manufacturing;

• Manufacturing’s direct employment base represents 12.6% of all South Carolina jobs. After accounting for additional effects and economic multipliers, the percentage jumps to 30.2%;

• Average manufacturing salaries are 33% higher than the state’s average wage. The annual wage of the average manufacturing job in South Carolina is $60,850, compared with $45,694 for all jobs across the state;

• Manufacturing creates more jobs than virtually any other sector with a 2.4 multiplier effect;

• 38% of South Carolina’s $9.8 billion general fund revenue comes from manufacturing industry taxes and fees.

South Carolina manufacturing is anchored largely by the aerospace, automotive and tire sectors, with transportation equipment manufacturing a leading component.

According to the study, South Carolina’s transportation equipment manufacturers experienced an average annual employment growth rate of 8% from 2010-2019 compared with 2.4% overall state job growth.

As of November, these were the largest manufacturing employers in South Carolina posted by IndustrySelect:

1. BMW, Greer: With 11,000 employees, BMW is the state’s largest industrial employer. The Greer BMW location is a major assembly plant and produces more volume that any other BMW plant in the world, specializing in the X5, X3 and X6 sports utility vehicles.

2. Boeing, North Charleston: Boeing employs 7,000 people at the North Charleston assembly plant, which produces aircraft and related equipment for commercial jetliners and defense.

3. GE Power, Greenville: GE employs 3,400 people at its plant producing gas turbines for energy applications and infrastructure products.

4. Volvo, Ridgeville: Established in 2016, the plant employs 3,290 people. Volvo’s first U.S. plant produces sports utility vehicles, specifically the Volvo S60.

5. ZF Transmissions Gray Court, Gray Court: ZF Transmissions builds transmissions for all major automakers, employing 2,800 people at its Gray Court plant.

6. Kraft Heinz, Newberry: Heinz employs 2,500 people at its plant specializing in turkey processing and packaging under its Oscar Mayer brand.

7. Robert Bosch LLC Automotive Group, North Charleston: Robert Bosch employs 2,200 workers, producing auto parts such as anti-lock brake and diesel common rail fuel injection systems and gasoline fuel injectors.

8. Husqvarna, Orangeburg: Husqvarna Outdoor Products employs 2,000 people, manufacturing gardening and outdoor power tools, including riding lawnmowers.

9. Electrolux, Anderson: Electrolux, a top U.S. manufacturer of home appliances, employs 1,950 people, building refrigerators.

10. Michelin, Greenville: The largest of six Michelin plants in South Carolina, the site employs 1,900 workers, producing rubber tires.

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