(The Center Square) – State and local incentives of $210.2 million have lured a nearly $1 billion aerospace-grade titanium factory to southeastern North Carolina.
American Titanium Metal, formed in 2023 to explore the production of aerospace-grade titanium in the United States, will call Fayetteville home for its 500,000-square foot, $867.8 million facility on 120 acres. City and Cumberland County incentives of $189.9 million were approved in May, and Tuesday the state Department of Commerce’s Economic Investment Board green-lighted a package valued at $20.3 million.
The exploration “would allow the U.S. to secure and control its aerospace manufacturing supply chain and maintain its dominance as the largest global aircraft manufacturer,” the investment board said in a statement. “The company has assembled a team of experts that have close to 300 years of experience as key executives and leaders in the metals, mill and titanium industry.”
American Titanium plans to process the titanium, primarily from recycled material, the investment board said. The company plans to employ 304 people by the end of five years, with a minimum average salary of $123,476.
The investment board approved a state job development grant of up to $8 million. Other state incentives including infrastructure support, employee training and road improvements could bring the total state aid to $20.3 million.
Competing states for the project were Georgia and Texas.
Incentives are justified by new jobs businesses say are coming, typically announcing average salaries compared to those of the county. Economists question the effectiveness of financial incentives to private businesses to expand or come to a new state.
The use of hourly wage as an indicator is questioned because salaries of a few corporate leaders can skew the average higher while it would not have the same impact on the median wage.
The Economic Investment Board also approved incentives for a project in Wilson County by Idexx Laboratories Inc, a global manufacturer of diagnostic products for veterinarians.
The new $147 million plant is expected to employ 275 people over five years, with an average annual wage of $65,873.
The Economic Investment Board approved job development grants of $3.8 million. Other incentives would bring the total incentives to about $5 million. The competitor for this project was the greater Atlanta region.
“Our state offers the talented workers and workforce training systems that help companies reliably produce the products their customers depend on every day,” Gov. Roy Cooper said in a statement Tuesday.
