North Carolina Crowned 'State of the Year' for Business, Marking Third Top Honor Since 2020

RALEIGH, N.C. – North Carolina has secured the top spot for business climate and economic development for the third time since 2020, according to the annual rankings released by Business Facilities magazine. The "State of the Year" award underscores the Tar Heel State's sustained appeal to major corporations amid a competitive national landscape.

The recognition follows a landmark period of capital investment, headlined by commitments from Amazon, aerospace startup JetZero, and rare-earth magnet producer Vulcan Elements. These projects, collectively promising tens of thousands of new jobs, highlight the state's strategic pivot towards advanced manufacturing and technology sectors.

"North Carolina's economic ecosystem is firing on all cylinders," said Anne Cosgrove, the magazine's editorial director. "From JetZero selecting Greensboro for its flagship aircraft facility to Genentech expanding its biotech footprint in Wake County, the state is not just attracting companies—it's cultivating the next generation of supply chains." She specifically cited Vulcan Elements' planned $1 billion facility in Johnston County as a move that positions the state at the forefront of critical materials production.

The scale of recent investments is staggering. Amazon Web Services has pledged a record $10 billion for a cloud computing and AI innovation campus near the South Carolina border. JetZero's project involves a $4.7 billion investment, while Vulcan Elements aims to build the largest rare-earth magnet factory outside of China.

This growth has been strategically supported by public incentives. State and local packages for these major projects can total in the hundreds of millions, often tied to job creation benchmarks. For instance, Amazon's agreement with Richmond County includes substantial property tax reimbursements. However, historical data shows less than half of companies fully meet all conditions to receive the entirety of pledged incentives.

"Our formula is working," stated Lee Lilley, North Carolina's Commerce Secretary. "Targeted investments in workforce, infrastructure, and site preparation, paired with strong community partnerships, are generating high-quality job growth statewide."

Analysts note that North Carolina's success reflects a broader Sun Belt trend, but its specific focus on life sciences, aerospace, and clean energy technology has given it a distinct edge. The challenge ahead will be maintaining this momentum while ensuring the promised economic benefits are fully realized for local communities.

Michael Torres, Economic Analyst in Charlotte: "The data is undeniable. North Carolina has built a diversified, future-proof economy. Winning this award three times isn't luck; it's the result of consistent policy and cross-sector collaboration that other states are now scrambling to replicate."

Sarah Chen, Small Business Owner in Asheville: "It's exciting to see the state get recognition, and I hope some of this prosperity trickles down to Main Street. My concern is that the massive incentives for giants could distort the market and overlook the local businesses that form our economic backbone."

David R. Fletcher, Manufacturing Consultant (Online Comment): "Another 'award' bought with taxpayer money! These incentive deals are corporate welfare, pure and simple. We're giving away the farm for promises that often go unfulfilled. When do the regular taxpayers, who fund these giveaways, see their 'State of the Year' bonus?"

Priya Mehta, Graduate Student at NC State: "As someone entering the tech job market, this is incredibly promising. It validates that I don't have to move to Silicon Valley or Austin. The focus on AI and advanced manufacturing means the opportunities right here are cutting-edge."