Consider the Carolinas » Industry Site Selection and Relocation » Plastics Industry Site Selection

Plastics Industry Site Selection

The Carolinas offer great opportunities for plastic manufacturing companies involved in plastics industry site selection. An abundance of skilled and affordable labor, a strong industry presence and proximity to numerous potential customers make the Carolinas an ideal location for plastics industry site selection.

Duke Energy offers one of the most powerful site selection tools available. For companies involved in plastics industry site selection work, the tool is designed to: Evaluate the demographics, wages, labor pool, transportation system, as well as search for sites, buildings, suppliers, competitors or customers throughout North or South Carolina.

Industry Presence

Companies involved in plastics industry site selection activities will find many suppliers and competitors have already established operations in the Carolinas.

  • Over $16.7 billion in plastics revenues are shipped annually from the Carolinas, placing the Carolina fifth in the plastics industry for dollars shipped.
  • The following companies call the Carolinas home: Americhem, Bonset America, DuPont, EMS-GRIVORY, Eastman Chemicals, GE Polymerland, KoSa, Owens Corning, Stockhausen Inc., Wellman, Zeus Industrial Products Inc. Sterilite Corporation selected South Carolina in 2004, investing $65 million in a new manufacturing and distribution facility.
  • With nearly 800 production facilities, North and South Carolina rank No. 1 in the nation for plastic manufacturing using PET resin. PET is a strong, clear material especially suited for numerous packaging applications:
    • Carbonated soft drinks
    • Carbonated and still water
    • Sports/Isotonic Drinks
    • Juices and juice drinks
    • Alcoholic beverages and beer
    • Teas
    • Milk
    • Food products - a wide range, including sauces, syrups, condiments, jams and jellies
    • Non-food products such as household cleaners, detergents, soaps & lotions
    • Pharmaceuticals
    • Automotive and agro-chemicals

Plastic manufacturing companies producing PET resin plastics in North Carolina and South Carolina include:

  • DAK Americas LLC (subsidiary of DuPont)
  • Honeywell International, Inc.
  • Mohawk Oak River Mill
  • Martin Color-Fi, Inc.
  • Unifi SANS Technical Fiber
  • American Fibers and Yarns Company
  • North Carolina ranks 4th in pipe extrusion, 6th in rotomolding, 8th in blowmolding and 10th in most molding machines installed for plastic manufacturing.
  • North Carolina also ranks 7th in LLDPE, 7th in PVC, 9th in HDPE and 10th in PP.

Superior Transportation Infrastructure

A sufficient transportation system is critical for plastics industry site selection. The Carolinas are centrally located on the eastern seaboard of the U.S. and have a robust transportation network.

  • Four Class I railroads with 37 freight lines operate over 5,500 miles of track throughout the Carolinas.
  • The Carolinas recognize the importance of suitable roadways when being considered for plastics industry site selection. Crisscrossed with 6 major interstates (I-85, I-26, I-77, I-95, I-20 and I-40) and over 140,000 miles of highway, the Carolinas are linked to seaports, businesses and consumers in all directions. Approximately 96 percent of N.C. has access to four-lane highways within 10 minutes.
  • Five deep water ports, specializing in intermodal system terminals with interstate and rail access to markets throughout the U.S., are located in the Carolinas. N.C. was the first port operated inland container staging and storage facility in the nation. S.C. is the fourth largest container port in the U.S.
  • Charleston ranked 30th for tonnage transported across its transportation network (30 Million Short Tons).
  • Seven international airports (Charlotte-Douglas, Piedmont Triad, Raleigh/Durham, Wilmington, Greenville-Spartanburg, Charleston, and Myrtle Beach International), along with nine regional airports, provide a global gateway to and from the Carolinas.

Proximity to Major Southeastern Markets

The Carolinas offer a robust business climate and access to diverse markets within 300 miles/500 kilometers of its boarders.

  • Population of more than 40 million people.
  • Growing Southeastern metropolitan centers such as Charlotte (N.C.), Columbia (S.C.), Atlanta (Ga.), Richmond (Va.), and Jacksonville (Fla.).
  • In 2003, the Carolinas issued 117,417 residential building permits, which accounted for 6.2 percent of all permits issued in the U.S. North Carolina, Georgia, Florida and Virginia are among the top 10 permit issuing states.
  • The 5-year state population growth is 7 percent in N.C., 6 percent in S.C., 7 percent in Va. and 10 percent in both Ga. and Fla.

Quality Workforce and Competitive Wages

The Carolinas profited from the presence of the textile industry for many years. As this industry continued to move its operations off shore, many highly-skilled manufacturing employees were left behind. Companies in the process of plastics industry site selection in the Carolinas have a ready pool of talented and affordable workforce.

  • Affordable wages is a significant criteria for plastics industry site selection. The average manufacturing wage in the Carolinas is $13.20 per hour vs. $18.10 per hour nationwide.
  • The Carolinas’ 75-campus Community College System has emerged as one of the largest in the nation and is recognized as the national leader for its support of economic work force development and training. Companies involved in plastics industry site selection should evaluate the assistance available to them through programs such as ISO 9000, Total Quality Management, Team Building, Supervisory Development Training, Statistical Process Control and World Class Concepts.
  • North Carolina and South Carolina have the lowest union membership rates among the fifty states, 3.6 percent and 4.2 percent, respectively.

Incentives/Tax Advantages

To demonstrate North Carolinas’ commitment to plastics industry site selection, the North Carolina General Assembly made significant enhancements to its existing incentive tools:

  • The Jobs Development Investment Grant, a key incentive tool, was expanded to 25 grants per year, and the cap was raised from $10 to $15 million, extended to 2006.
  • An additional $20 million was secured for the One North Carolina Fund (cash incentives).
  • The wage test was eliminated for Industrial Revenue Bonds.

South Carolina has one of the most attractive tax climates in the Southeast—no state property tax, no local income tax, no inventory tax, no wholesale tax, and no unitary tax on worldwide profits.

Reliable and Affordable Energy

Duke Energy has highly qualified energy experts and site consultants who can assist in any plastics industry site selection project. The service is free and confidential.