Manufacturing State Score Calculator
Find the best manufacturing location for your business. This tool calculates your ideal state based on what matters most to your operations. Just adjust the weights for each factor and see which state scores highest.
How to Use This Tool
Adjust the importance of each factor to match your business needs. The tool will calculate a score for each state based on your preferences.
Pro Tip: Manufacturing success depends on the right combination of factors. Some businesses need strong workforce training, others need the best logistics, and some prioritize tax incentives most.
Adjust Your Priorities
When you think of manufacturing in the U.S., you might picture old factories in the Rust Belt. But the real action today isn’t where it used to be. Some states are pulling away from the pack with explosive growth in factories, automation, and skilled labor pipelines. If you’re looking to start a manufacturing business or expand one, where you set up matters more than ever. The fastest growing manufacturing states aren’t just making more stuff-they’re doing it smarter, faster, and with better support.
Why Location Matters More Than Ever
Manufacturing isn’t just about cheap labor anymore. It’s about access to skilled workers, logistics networks, tax incentives, and supply chain resilience. A factory in Ohio might be closer to 70% of the U.S. population than one in California. A plant in Tennessee can ship parts to Nashville, Atlanta, and Chicago in under 12 hours. That kind of proximity cuts costs, speeds up delivery, and reduces inventory needs.
States that invested in workforce training programs, infrastructure upgrades, and clean energy incentives are seeing the biggest jumps in new manufacturing jobs. The U.S. Bureau of Labor Statistics reported over 180,000 new manufacturing jobs added between 2023 and 2025-and nearly half of them came from just five states.
Tennessee: The New Hub for Advanced Manufacturing
Tennessee has quietly become the most aggressive state in attracting manufacturing investment. In 2024 alone, it landed over $12 billion in new manufacturing projects. Why? A mix of low taxes, right-to-work laws, and a state-funded workforce program called Tennessee Promise that trains high school grads in advanced manufacturing skills before they even graduate.
Companies like Rivian, General Motors, and LG Energy Solution have built massive battery and EV plants in the state. Nashville’s suburbs now house over 200 advanced manufacturing facilities. The state’s median wage for manufacturing jobs is $22.50 an hour-up 18% since 2020-and the unemployment rate for skilled trades is under 2.5%.
North Carolina: Where Electronics and Biotech Collide
North Carolina’s Research Triangle isn’t just for tech startups anymore. It’s a manufacturing powerhouse. The state added over 24,000 manufacturing jobs between 2022 and 2025, mostly in electronics, medical devices, and pharmaceutical packaging.
Why? Three universities-Duke, UNC, and NC State-feed a steady stream of engineers and technicians into local factories. Companies like Apple, Siemens, and Thermo Fisher expanded their U.S. production lines here because of the talent pool and reliable power grid. North Carolina also offers a 15% tax credit for companies that invest in automation equipment.
One small company in Raleigh, MedTech Innovations, went from 12 employees in 2021 to 180 today, producing FDA-approved diagnostic devices. They didn’t need to move overseas-they just needed the right state support.
Texas: Energy, Logistics, and Scale
Texas isn’t just oil and gas anymore. It’s the largest manufacturing state by output, and it’s growing faster than ever. In 2024, Texas added more than 40,000 manufacturing jobs-the most of any state. The growth isn’t in traditional steel or textiles. It’s in semiconductors, aerospace, and renewable energy equipment.
Companies like Tesla, Intel, and Samsung have poured over $50 billion into new Texas plants since 2021. The state’s lack of income tax, massive port infrastructure, and low energy costs make it a magnet for energy-intensive manufacturing. The Port of Houston alone handles more than 100 million tons of manufacturing goods annually.
Even small manufacturers are thriving. A family-run company in San Antonio that makes custom metal enclosures for solar inverters grew 300% in two years after securing a state grant for energy-efficient machinery.
Georgia: The Logistics Advantage
Georgia’s secret weapon? Atlanta’s Hartsfield-Jackson Airport and the Port of Savannah. Together, they move more freight than any other state. That’s why companies like Coca-Cola, Kia, and Amazon are building massive production and distribution centers here.
Georgia added 19,000 manufacturing jobs between 2023 and 2025. The state’s Georgia Quick Start program trains workers in just two weeks-free of charge-for jobs in robotics, CNC machining, and quality control. The average manufacturing wage is $21.80/hour, and the state offers a $1,000 tax credit per new hire for the first three years.
One startup in Augusta that makes drone components for agricultural use went from a garage to a 20,000-square-foot facility in 18 months. They didn’t need venture capital. They just needed access to skilled labor and shipping routes.
Alabama: The Hidden Rising Star
Alabama might surprise you. It’s not on most people’s radar for manufacturing-but it should be. In 2024, Alabama had the highest percentage growth in manufacturing employment in the U.S.-up 8.7% year-over-year.
Mercedes-Benz, Hyundai, and Airbus have major plants here. But it’s the smaller suppliers that are driving the real change. A network of 400+ Tier 2 and Tier 3 suppliers now supports these giants, creating jobs in welding, injection molding, and precision machining.
The state’s Alabama Industrial Development Training program covers 100% of training costs for companies hiring new workers. In Huntsville, a small firm that makes satellite components went from 5 employees to 90 in three years after receiving state-backed grants for cleanroom equipment.
What These States Have in Common
These five states didn’t get lucky. They made deliberate choices:
- They invested in workforce training-not just college degrees, but hands-on technical programs.
- They cut red tape for permits and inspections, cutting factory startup time from 18 months to under 6.
- They offered targeted tax credits for automation, not just hiring.
- They built infrastructure for clean energy, not just roads.
- They partnered with community colleges to create pipelines from classroom to factory floor.
States that still rely on tax breaks alone, without training or logistics upgrades, are falling behind. You can’t just offer a tax break and expect a skilled workforce to appear.
What This Means for Your Manufacturing Business
If you’re thinking of starting a manufacturing business in 2025, don’t just look at where rent is cheapest. Look at where the talent is being trained, where the parts are delivered, and where the state government actually shows up to help.
Here’s what to ask before you sign a lease:
- Does the state offer free or subsidized training for your specific job types?
- Is there a nearby port, rail line, or highway that cuts your shipping time?
- What tax credits exist for automation, energy efficiency, or hiring veterans?
- Are there existing suppliers nearby? (One supplier within 50 miles can cut your costs by 30%.)
- What’s the turnover rate for skilled workers in the area?
Don’t assume the old manufacturing hubs are still the best. The rules changed. The leaders changed. And the winners are no longer the ones with the biggest factories-they’re the ones with the best systems.
Where Not to Go (Yet)
Some states still cling to outdated models. Michigan, for example, has a strong manufacturing legacy but is lagging in workforce training and permitting speed. Illinois has high energy costs and slow approval processes. California’s regulatory burden still drives many manufacturers out, despite its tech talent.
That doesn’t mean these states are dead. But if you’re starting fresh in 2025, they’re not the easiest places to win.
Final Thought: Manufacturing Is Making a Comeback
For years, we were told manufacturing was dying. It wasn’t. It was just moving. And now it’s coming back stronger-with smarter tech, better workers, and smarter policies. The fastest growing states aren’t just building things. They’re building futures.
If you’re ready to start or scale a manufacturing business, look beyond the headlines. Go where the systems work. Go where the training happens. Go where the trucks leave the dock on time.
Which state has the most manufacturing jobs in 2025?
Texas leads in total manufacturing output and job count, with over 1.2 million workers in manufacturing as of mid-2025. But Tennessee and North Carolina are growing faster in terms of percentage increase. If you care about raw numbers, Texas wins. If you care about growth momentum, look at Tennessee and Georgia.
Is manufacturing still a good career path?
Absolutely. The average manufacturing wage in the top growing states is now over $22 an hour, with benefits. Many skilled roles-like CNC programmers, robotics technicians, and quality engineers-earn $70,000 to $90,000 a year without a four-year degree. Training programs often pay you while you learn. Manufacturing jobs are stable, well-paid, and in high demand.
What types of manufacturing are growing the fastest?
Electronics, medical devices, batteries, aerospace components, and automation equipment are leading the growth. Renewable energy manufacturing-like solar inverters and wind turbine parts-is also expanding fast. Traditional sectors like textiles and furniture are shrinking in most states, except where they’ve adopted automation.
Can a small business succeed in manufacturing today?
Yes-if you focus on niche products, local supply chains, and automation. Many small manufacturers now use 3D printing, CNC machines, and cloud-based inventory systems to compete with big players. States like Alabama and Georgia offer grants specifically for small manufacturers to buy equipment. You don’t need a huge factory-you need the right tools and the right state support.
Do I need to move to one of these states to start a manufacturing business?
Not necessarily. But if you want to scale quickly, reduce costs, and hire skilled workers without long training periods, moving to one of these states gives you a huge advantage. Remote manufacturing is still limited-most production requires physical infrastructure, local labor, and fast logistics. Your best shot at success is aligning your location with the state’s ecosystem.
