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2 Featured on cover Top left: Mastronardi Produce, Coldwater Bottom left: Pictured Rocks, Munising Bottom right: Shinola, Detroit 2

3 Welcome to Michigan, a place of natural beauty and a state experiencing great economic growth. There s no better place for business than Michigan. We re a state of inventors and entrepreneurs, of researchers and problem solvers, and world class manufacturers. You ll find Michigan is an strategic location for your investment and an ideal place to conduct business. Among the advantages are a geographic location within 500 miles (800 kilometers) of half the U.S. and Canadian markets, and access to a world-class talent pool and top-rated university system. Further, with a simple, fair and flat 6 percent corporate income tax, Michigan can proudly claim one of the best tax environments for business in the country. Michigan Economic Development Corporation (MEDC) is our state s lead advocate for business development and economic growth, with numerous resources to help businesses get started and expand. The MEDC is ready to assist companies from around the globe in all aspects of their site location efforts. There are many factors to consider when deciding where to locate your business. Beyond the many economic advantages, Michigan is the perfect place to live, vacation and raise a family. From miles of Great Lakes shoreline to acres of state parks and forests, to quaint small towns and exciting urban areas, we invite you to come and see just how enjoyable life can be when it s Pure Michigan. Sincerely, Rick Snyder Governor 3

4 Grow in Michigan Michigan is poised to become a top 10 state for economic growth, job creation, and quality of life. In the past three years, hundreds of companies, both domestic and international, have invested in Michigan s success. Michigan is leading with the foresight, innovation, and the economic tools needed to build a strong, prosperous business ecosystem. The Michigan Economic Development Corporation (MEDC) provides numerous resources for business development and economic growth. Working closely with local communities, MEDC will support your needs by providing high-quality information, services and connections for better decision-making and successful project investments. Michigan s governor, state government, and a multitude of partners and experts collaborate to provide what your company needs to make a site location decision. Fourth most business-friendly tax ranking among nation s 12 most populated states Ranked among the top ten states for major new corporate facilities and expansions Reform of manufacturing personal property tax estimated to cut business taxes by $500 million annually Michigan is a right-to-work state Downtown Grand Rapids 4 And that s just the beginning.

5 RICH TALENT POOL Michigan is the center of the greatest concentration of skilled and engineering talent in the world. Not only is the education level of Michigan s manufacturing workforce one of the highest in the nation, we are home to the fourth largest high-tech workforce in the United States. Graduates of Michigan s nationally ranked supply chain programs are helping industry succeed globally by reducing costs through complex supplier and customer logistics solutions. Michigan hosts nationally ranked supply chain management programs at Michigan State University, the University of Michigan, and Western Michigan University. Michigan is a right-to-work state. Our world-class workforce is free to decide whether union membership is right for them while preserving the roles of unions and collective bargaining. Michigan continues to invent and reinvent new methods for high-quality, low-cost production. Michigan companies grow and increase productivity by leveraging our hardworking and skilled workforce, who are attracted by our excellent quality of life. Michigan boasts a low cost of living, world-class cities and four seasons of recreational opportunity. Michigan s manufacturing industry has more than 500,000 talented workers, including over 87,000 engineers and 70,000 R&D professionals. Kettering University is among the top five for auto industry job preparation. University of Michigan ranks in the top 10 for aerospace, biomedical, computer, materials science, and mechanical engineering. During , Michigan colleges awarded more than 25,000 STEM (science, technology, engineering, mathematics) degrees. Research Vault Michigan State University, East Lansing Michigan State University has eight ranked engineering graduate programs. 5

6 MANUFACTURING STRENGTH Jeff Fettig, CEO of Whirlpool Founded in 1911, Benton Harbor s Whirlpool began by producing electric, motor-driven wringer washers. Today, Whirlpool Corporation is the world s leading manufacturer and marketer of major home appliances, with annual sales of more than $20 billion in MILLION in annual light vehicle production, 23% of the U.S. total Michigan manufacturing is going strong. The state continues to lead the way as new and disruptive manufacturing technologies and techniques are introduced, refined and industrialized. Michigan is powered by the greatest concentration of skilled and engineering talent in the United States. Almost 14,000 manufacturing establishments have access to one of the largest concentrations of industrial research and development in the country. Automation and innovation continue to drive Michigan s success as a highly productive, high-quality source of complex products and systems. We are masters at developing the most efficient solutions for volume production of high-quality goods and are global leaders in the development of new materials, integrated systems and new applications of technology. The automotive sector continues to be a key Michigan industry. Automotive isn t the whole story, though. Michigan is a leading manufacturer of food and beverage products, chemicals, plastics, rubber, wood and furniture products. The state has also diversified its manufacturing expertise to foster growth in other industries such as defense, aerospace, information technologies and robotics. 1,400 metalworking machinery manufacturing facilities, including 640 tool and die shops 13 automotive assembly plants MICHIGANDERS BUILD A LOT MORE THAN JUST CARS #1 office furniture industry employment #5 primary metal manufacturing employment #6 machinery manufacturing employment 40 battery supply chain companies 4,000 defense contractors, $3 billion in Department of Defense contracts 6

7 STRONG R&D PARTNERSHIPS Visteon, Van Buren Township Headquartered in Van Buren Township, Visteon designs and engineers components and systems for virtually every vehicle manufacturer worldwide. Visteon s 25,000 innovative employees contributed to 2014 sales of more than $7.5 billion. Michigan is leading the way for technical and scientific innovation as the center of a region that has received hundreds of millions of dollars in federal funding for manufacturing innovation. State government, universities and industry are working together to create a network that provides a deep resource for industry. Michigan s University Research Corridor, an alliance among Michigan State University, University of Michigan and Wayne State University, draws federal academic research dollars to the state. Michigan s 15 public universities, more than 60 independent universities and colleges, and 28 community colleges grant nearly 1,500 Ph.D.s every year, almost twice the national average. These universities spark regional economic development through innovation, educate a workforce prepared for the knowledge economy, and attract smart and talented people to Michigan. Detroit s American Lightweight Materials Manufacturing Innovation Institute (ALMMII), serves U.S. manufacturing by supporting innovative technologies for cost-effective lightweighting of components for the transportation industries. A newly awarded composite materials center will partner with Oak Ridge National Laboratory to focus on advanced composite material processing and component development for the automotive industry. Michigan State University s National Superconducting Cyclotron Laboratory is a world-leading rare isotope and nuclear science research facility. It s also the future home of the Facility for Rare Isotope Beams (FRIB), a $72 million project that will further advance this research. Michigan is home to the U.S. Environmental Protection Agency s National Vehicle and Fuel Emissions Laboratory (NVFEL) providing opportunities to rapidly consult with experts who can provide a wide array of dynamometer and analytical testing and engineering services, leading to federal emissions and fuel economy standards certifications required for U.S. markets. The state of Michigan is currently utilizing real world deployment of comprehensive, multi-modal connected vehicle systems on more than 2,800 vehicles (passenger, commercial and transit buses). The Michigan Department of Transportation, University of Michigan s Mobility Transformation Center, automakers, and the U.S. Department of Transportation have collaborated to form the Southeast Michigan Connected Vehicle Test Bed, the most extensive test bed in the nation. 7

8 KEY MICHIGAN INDUSTRIES Roush Performance, Livonia Advanced materials Michigan is a technology leader in next generation materials. Companies, universities and two federally funded manufacturing technology institutes are leading the way in the development of materials and technologies for manufacturing and joining lightweight materials. Aerospace Recently named No. 2 in aerospace manufacturing attractiveness by PwC, Michigan is home to more than 150 direct aerospace manufacturers and suppliers. Carbon fiber companies, major tooling and engineering software providers and universities offer resources to fuel the industry. Top-ranked aerospace engineering programs at the University of Michigan and Lawrence Technological University provide a talented workforce and access to millions spent annually on research to support the industry. Agriculture and food processing Michigan is second only to California in terms of agricultural diversity and produces more than 300 commodities, contributing more than $100 billion to the state s economy each year. Food industry leaders such as Gerber, Post, Kellogg s and Vlasic are converting crops into finished consumer products. Michigan firms are successfully applying innovative processing technologies such as aseptic filling and flash-freezing, backed by academic and government institutions that support agricultural production, research and development. Alternative energy Michigan has made significant investments to foster robust supply chains in several alternative energy sectors. Changing regulatory environments and market pressures have created opportunities to leverage those assets. Automotive The state produces more cars and trucks than any other state, ranking 13th in the world among nations and other states. Michigan also hosts 375 domestic and international automotive R&D centers. Seventy-five percent of the U.S. total spending on auto-related R&D is spent in Michigan. Information technology Michigan is home to respected companies in cyber security, data management and digital health. Universities and focused expertise such as the Henry Ford Innovation Institute are writing new chapters in the textbook for digital health systems. The Michigan Cyber Range stands as a unique public resource to teach, train, and test the security of strategic systems in the safety of an isolated world. Intelligent transportation systems Emerging opportunities in connected and automated vehicle technologies such as sonar, radar, infrared camera, and car-to-car wireless communications are being developed by a diverse range of Michigan companies, entrepreneurs and universities. Tourism Tourism is one of the largest industries in Michigan, generating nearly $23 billion of direct spending in The award-winning Pure Michigan campaign highlights Michigan s world-class attractions and welcomes visitors from around the globe. The state is a popular golf destination, offering more than 800 public golf courses. Michigan is home to some of the best freshwater fishing anywhere, generating more than $2 billion in an economic impact each year. 8

9 MICHIGAN MEANS SUCCESS Newell Rubbermaid Great performance, design and innovation make all the difference between a standard product and one that wins with consumers. Our new state-of-the-art design center will provide a collaborative environment to help us bring our biggest and best ideas to market and better meet the needs of our consumers worldwide, said Chuck Jones, Newell Rubbermaid s chief design and research and development officer. A Fortune 500 company, Newell Rubbermaid s portfolio includes more than 40 brands including Calphalon, Dymo, Goody, Levolor, Rubbermaid, Sharpie and Waterman. When the company decided to consolidate design and test facilities across their portfolio of products, they chose Michigan because of our strengths in innovative product design, prototyping and testing. Eissmann Group Automotive We conducted a very thorough multi-state search for a location that would maximize our ability to service existing and future customers, said Brian Tinney, president of Eissmann Automotive North America Inc. Ultimately, location and availability of workforce drove the site decision. This global leader in the manufacture of automotive components established a North American headquarters and new manufacturing facility in Port Huron. Competing with sites in Ohio and Indiana, Michigan s location and skilled workforce drove Eissmann s decision to locate in the state. CITIC Dicastal Co. Ltd. It s a testament to the value proposition of manufacturing in the U.S and the cost creep of labor and logistics of building (products in) China. There are more companies looking at the North American market for growth. Mike Wall, from IHS Automotive Group, a leading industry analysis firm. The world s largest aluminum wheel manufacturer is opening a new aluminum alloy wheel manufacturing plant in Greenville to produce three million wheels annually. The China-based company chose Michigan due to its proximity to key customers, talent availability, and assistance with site selection. Mahindra USA Inc. Michigan provided us the perfect ecosystem to step up our U.S. presence. We were able to draw on the terrific automotive engineering and manufacturing talent available in the state, to create industry leading initiatives for the United States, said Anand Mahindra, chairman of the Mahindra Group. An international conglomerate based in India, Mahindra has chosen Michigan for two significant North American operations. The company recently opened its North American Technical Center in Troy, drawing upon Michigan s rich automotive talent to provide design and consulting services for Mahindra Global Automotive and other customers. This development comes close on the heels of the new Mahindra GenZe production center in Ann Arbor, where the innovative, all-new GenZe electric scooter will be manufactured. 9

10 GLOBAL COMPANIES International companies employ more than 225,000 Michiganders. These companies have invested in Michigan to benefit from our manufacturing and technical expertise. Nearly half of these companies are involved in automotiverelated industries, with strong representation in manufacturing, equipment and automation, and product research and development. Finance and insurance are also major employers who rely on Michigan s wealth of strong talent. Just a few of the global companies that call Michigan home: Ally Financial, Detroit financial services Auto-Owners Insurance, Lansing insurance Dow Chemical Corporation, Midland chemicals and advanced materials Ford Motor Company, Dearborn automobiles General Motors Corporation, Detroit automobiles Lear Corporation, Southfield automotive components Steelcase Corporation, Grand Rapids office furniture Stryker Corporation, Kalamazoo medical devices These international companies make Michigan home for their North American headquarters: Magna International, Canada automotive components Nexteer Automotive, China automotive components ThyssenKrupp, Germany automotive components SMR Automotive Systems, India automotive components Perrigo Company, Ireland pharmaceuticals Yazaki Corporation, Japan automotive components Fiat/Chrysler, Netherlands automobiles Nestlé/Gerber Products, Switzerland food Zurich Insurance Group/Farmers Insurance, Switzerland insurance Prudential/Jackson National Life, United Kingdom insurance 10

11 GATEWAY TO NORTH AMERICA Michigan is well served by air, rail, water and surface transport. We are located within 500 miles (800 kilometers) of almost half of U.S. and Canadian population and income, with ready access to the major metropolitan areas of Chicago, Indianapolis, Toronto, Cleveland, Cincinnati, St. Louis and Minneapolis. Detroit Metropolitan Airport (DTW) is a major hub for passenger travel and Willow Run Airport is one of the busiest on-demand cargo airports in North America. DTW has emerged as a major gateway to Asia with 280 international flights weekly, including nonstop service to Shanghai and Beijing, China; Seoul-Incheon, South Korea; and Tokyo and Nagoya, Japan. Michigan is connected to the Atlantic Ocean s Port of Halifax and three other deep-water ports along the St. Clair River at the Canadian border crossing. Michigan rail seamlessly connects to the Port of Halifax, and barges and steamers carry some 150 million tons of cargo through the 2,300 mile (3,700 kilometers) St. Lawrence Seaway to Great Lakes ports each year. om A s CANAD 0 i le Detroit Metropolitan Airport is one of the largest U.S. air hubs to Asia. 50 rs m North America s busiest commercial border crossing. e et ki l Trade capital of the NAFTA corridor, one of the largest foreign trade zones in the U.S. 800 Downtown Detroit Michigan is a key connection point along the PanAmerican Highway that spans from Canada through the U.S. and into Mexico. Nine international border crossings offer unlimited access to Canada, our largest trading partner. Foreign trade zones located across the state allow companies to reduce their logistics and import expenses, while competing in a global economy. Minneapolis Toronto Milwaukee Detroit Chicago Toledo New York City Philadelphia Cleveland Pittsburgh Indianapolis 800 Four Class I railroads, connecting the state to the North American rail network. Rochester Buffalo Baltimore Cincinnati ki Richmond e s et Raleigh-Durham rs Louisville l om 5 00 m ile A second Detroit/Windsor bridge is slated for construction within the next five years. St. Louis 11

12 The MEDC helps create more and better jobs by accelerating business investments, increasing community vitality, matching talent supply with demand, and building the state s exceptional Pure Michigan brand. MEDC GLOBAL BUSINESS DEVELOPMENT PROVIDES Information Regional markets Business costs (utilities, labor, etc.) Sites and buildings Introductions Government departments and officials Professional services firms Customers and suppliers Incentives Workforce development resources Tax abatements Grants and loans michiganbusiness.org

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