Area Development, a prominent national business publication, has selected Alabama for its Gold Shovel Award, recognizing the state’s economic development success in the manufacturing sector during a challenging 2020, Gov. Kay Ivey announced.

The honor follows a year of strong results for Alabama, with companies announcing new facilities and expansion projects involving nearly $5 billion in capital investment despite uncertain global business conditions.

The projects, many in key strategic industry clusters, will create almost 10,000 jobs across the state and inject economic vitality into many communities recovering from the effects of the pandemic.

“This Gold Shovel Award is a testament to Alabama’s skillful workforce and to the pro-business environment that makes our state such an attractive location for investment,” Ivey said.

Alabama Commerce Secretary Greg Canfield speaks at an August 2020 event announcing Mazda Toyota Manufacturing’s additional $830 million investment at its Huntsville assembly plant, now under construction. (Mazda Toyota)

Manufacturing growth

Area Development singled out several 2020 economic development projects in its decision to award a Gold Shovel-Manufacturing to Alabama, including:

• Steelmaking giant ArcelorMittal announced a $775 million project to add an electric arc furnace facility at the mill it operates with Nippon Steel in Calvert, near Mobile. The AM/NS Calvert project will create 200 jobs and expand production at the site.
• Mazda Toyota Manufacturing revealed plans for an additional $830 million investment at its assembly plant in Huntsville that will begin production later this year. Total investment at the plant now tops $2.3 billion, and it will employ up to 4,000 workers.
• Cullman-based HomTex, a maker of household linens, shifted gears during the pandemic to launch a project that will create 300 jobs in Selma, where it will manufacture three-ply and N-95 face masks.

Area Development’s annual Gold and Silver Shovel Awards recognize the overall effectiveness of economic development efforts in states across the nation. Read the report.

Alabama has been a frequent winner since the magazine launched the awards in 2006, when it won a Gold Shovel. The state also claimed Gold Shovel Awards in 2013 and in 2019.

AM/NS Calvert will greatly boost its steelmaking capacity with a massive expansion. The project will create about 200 direct and 100 indirect jobs. (contributed)

Strategic execution

The state’s 2020 economic development results are outlined in the Alabama Department of Commerce’s comprehensive “New & Expanding Industry Report” released earlier this year. The report provides a detailed look at 220 projects recorded in the state during a record-setting year of business recruitment and support.

“The chief goal of Alabama’s economic development team is to help spark the creation of jobs and opportunity throughout the state by strategically focusing on industries with solid long-term growth prospects,” said Greg Canfield, secretary of the Alabama Department of Commerce.

“Winning another Gold Shovel Award demonstrates that our team is executing on this plan and delivering results that make a difference for the state and its hard-working citizens,” he said.

This is the second Gold Shovel Award that Alabama has won during Ivey’s tenure and the third since Canfield took the helm at the Commerce Department.

Alabama joined Michigan and Indiana in receiving Gold Shovel-Manufacturing Awards from Area Development. Other states winning Gold Shovel Awards were Texas, North Carolina, Arizona, Utah and Kansas.

Alabama’s ability to overcome the complex economic development challenges posed by the pandemic also recently earned the state a Top 10 ranking in Site Selection magazine’s annual Governor’s Cups analysis.

This story originally appeared on the Alabama Department of Commerce’s Made in Alabama website.