CEO Guide to Site Selection

#18

Michigan

CEO Rank on Best & Worst States for Business

GROWING IN THE GREAT LAKES

U.S. Bureau of Economic Analysis data found Michigan ranked the third-highest growth rate in the nation in Q2 2021. State legislators and Gov. Whitmer credit it partly to the $2.1 billion MI New Economy plan to grow the middle class, support small businesses and invest in communities. While it’s been a boon to local businesses, it has also strengthened the base for inbound investments. Rivian, Ford and SK Siltron have all announced projects here in the past year.

“Through 2021, we have worked together to put Michiganders first by creating good-paying jobs, investing directly in communities, and furthering initiatives that will ensure long-term economic opportunity in the state. With our new economic development programs that are a result of us coming together across the aisle … Michigan can grow and attract billions in investment and create tens of thousands of good-paying jobs. As we enter 2022, we are prepared to secure economic prosperity across Michigan for years to come.”
Gretchen Whitmer
Governor

TAXES

0 %

top corporate income tax

# 0

on the Tax Foundation’s State Business Tax Climate Index ranking

EDUCATION

0 %

of students graduated high school in 2019

0 %

of adults age 25 and older have a bachelor’s degree or higher

UNEMPLOYMENT RATE

0 %

RIGHT TO WORK STATE

Yes

QUALITY OF LIFE

# 0

POPULATION GROWTH

0 %

increase between 2010 and 2020

“We look forward to providing a world-class tech facility to our amazing team that reinforces our culture, creativity and collaboration. We are also committed to supporting Michigan State University and the Lansing region as community stakeholders and would like to thank so many partners that have helped get us to this partnership off the ground-—including MSU, the MSU Foundation, the City of East Lansing, the Lansing Economic Area Partnership, the Michigan Economic Development Corporation and other partners.”
Wendy HamiltonCEO, TechSmith
“This center provides a base of service to our Rivian owners. This team will be the most all-around knowl edgeable and most highly trained group on Rivian vehicles… Our expansion in Plymouth is part of a long-term strategy that will allow access to the talented workforce Michigan offers.”
Tracy StevensGlobal Roadside and Service Support Operations Senior Manager, Rivian
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KEY INCENTIVES

Michigan Business Development Program (MBDP): Provides performance-based grants, loans or other economic assistance to businesses for highly competitive projects that create jobs or provide investment in the state.

State of Michigan Critical Industry Program (CIP): A performance-based grant developed to provide near term support for highly competitive projects that result in significant job creation and investment; the program will include flexible milestones structured to meet the project needs.

Strategic Site Readiness Program (SSRP): Provides financial incentives to eligible applicants to conduct eligible activities on, or related to, strategic sites and mega-strategic sites in Michigan, for the purpose of creating investment-ready sites used to attract and promote investment in Michigan.

EDCs

Michigan Economic Development Corporation
michiganbusiness.org

Detroit Economic Growth Corporation
degc.org

Detroit Regional Chamber
detroitchamber.com/

Grand Rapids Economic Development
rightplace.org

Lansing Economic Development Corporation lansingmi.gov/355/Lansing-Economic-Development-Corporation

HIGHLIGHTED PROGRAM OR INITIATIVE

Strategic Outreach and Attraction Reserve (SOAR) package

In December 2021, Governor Gretchen Whitmer signed the bipartisan Strategic Outreach and Attraction Reserve (SOAR) package to support small businesses and fully fund a historic economic development toolkit to make Michigan a national leader in business attraction. The Michigan Strategic Site Readiness Program (SSRP) will allow Michigan to create investment-ready sites to attract and spur business growth in Michigan. The program will provide grants, loans, and other economic assistance for the purpose of creating investment-ready sites to attract and promote investment in the state. The Critical Industry Program (CIP) will empower Michigan to make game-changing investments critical to closing deals, create and preserve qualified jobs, and bring significant capital investment into Michigan.

BIG DEALS

  • LG Energy Solution announced in March 2022 a $1.7 billion investment to quintuple its Holland plant to produce battery components, creating 1,200 jobs.
  • Hydro Aluminum Metals USA announced in April 2022 plans to construct a new facility in the village of Cassopolis, generating a total capital investment of $150 million and creating up to 67 new jobs.
  • As part of a Memorandum of Understanding (MOU) between Ford, the state of Michigan and the city of Detroit announced in February 2022, the state is aligning more than $126 million in new and existing investments, programming and resources to support the goals of the Michigan Central Station District. Ford also announced Google would be a founding member of the Michigan Central mobility innovation district.
  • GM announced in December 2021 an historic $7 billion investment, creating 4,000 jobs and retaining 1,000 more, a significant portion of GM’s overall planned investment in electric and autonomous vehicles through 2025.
  • Automotive electronics manufacturer EOI Pioneer announced in December 2021 a $14 million investment to establish facility and new manufacturing operations in Dundee, creating 195 new jobs.

BIG COMPANIES

17 Fortune 500 companies headquartered in the state, including:

  • Fort Motor Company
  • General Motors
  • Penske Automotive Group
  • Lear
  • Whirlpool
  • DTE Energy
  • Stryker
  • Kellogg
  • Ally Financial

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