Case Study - Unlocking Workforce and Incentive Advantages for U.S. Manufacturing Expansion
Establishing a first U.S. manufacturing facility can be a pivotal but complex move for specialized manufacturers. With rising costs, talent shortages, and fragmented incentive landscapes, companies need targeted insights and faster decision-making to stay competitive.
A well-established German precision manufacturing company with a 75-year heritage had built its reputation on exceptional engineering and product quality. After decades of exporting to North America, rising shipping costs, potential new U.S. tariffs, and longer delivery times began to erode their competitive advantage. The executive team recognized that establishing a North American manufacturing facility had become a strategic imperative.
However, executing this expansion presented significant challenges. The company's highly specialized production processes required both skilled technicians and manufacturing workers with specific training—making workforce availability a critical factor. Identifying suitable locations with the right labor pools and navigating the fragmented landscape of U.S. state and local incentives from their headquarters in Stuttgart proved to be complex and time-consuming.
Challenges like these highlight exactly where Upsite can make a difference. By using Upsite, companies with similar needs are able to:
- Analyze manufacturing-focused incentive programs across multiple U.S. states
- Compare workforce availability, training programs, and labor market data across potential sites
- Identify tax abatements, free land opportunities, and other strategic incentives
- Connect directly with regional economic development officials for customized incentive discussions
With the right data and connections, companies facing these challenges can uncover major opportunities. In a case like this, a manufacturer could secure a comprehensive incentive package—such as $12 million in combined support—including state-funded workforce training valued at $800,000 and a 10-year property tax abatement reducing operational costs by over 20%.
Access to targeted intelligence and streamlined engagement with local stakeholders could accelerate the expansion process by over 60% compared to traditional site selection timelines. Additionally, platforms like Upsite can facilitate valuable community connections, such as tapping into established industry networks to support smoother market entry.
