Why NC is attracting so many EV companies

DURHAM – The Triangle region of North Carolina continues to attract economic development projects tied to the clean energy economy. And that’s especially the case for the electric vehicle market, including projects from companies that manufacture critical components for EVs like semiconductors and batteries.

Consider VinFast’s $4 billion investment in Chatham County, to construct an automotive assembly plant for multiple models of electric vehicles, and a battery plant alongside of it. Or Toyota’s selection of Randolph County for an electric vehicle battery manufacturing plant. There’s also a planned semiconductor manufacturing plant coming to Chatham County as Wolfspeed selected a massive site to build a $5 billion wafer fabrication facility.

And the latest company coming to North Carolina to manufacture components in the EV segment is Kempower, a Finnish manufacturer of electric vehicle charging stations, which announced a facility in Durham County last week.

So why are companies choosing North Carolina’s Triangle and Triad regions?

Dr. Srinath V. Ekkad, a professor at North Carolina State University, said the answer may be more simple than people might think.

“We have a lot of talent here,” said Ekkad. “It’s a confluence of a lot of technology that comes together to build an EV car. I think all that technology and talent already exists in the RTP area,” he added.

What’s happening

North Carolina is already outpacing the rest of the south, and much of the United States, with consumer behavior in adopting to electric vehicles, said Dr. Jeffrey K. Sarbaum, a senior lecturer in the department of economics at the University of North Carolina at Greensboro.

“Similarly, the growth of EV infrastructure, like charging stations, is outpacing most states,” Sarbaum said.

And many in North Carolina have been proactive in their efforts to attract investment, Sarbaum noted.

On top of that, state leaders have put emphasis on clean energy and reducing emissions in the state.

North Carolina Governor Roy Cooper previously told WRAL News, “North Carolina is quickly becoming the center of our country’s clean energy economy. Companies are taking notice.”

A report from Governor Cooper’s office recently found that North Carolina is on track to reduce greenhouse emissions by 60 percent by 2050.

EV charging station manufacturer picks Durham for $41M plant, with plans to hire 300 workers

The labor force matters

Some students at North Carolina State are already building electric cars and their parts.

“I think once you create an ecosystem of technology and there’s a large talent pool available, companies will automatically come,” Ekkad said.

And North Carolina’s population continues to grow, including in the Triangle and the Triad. As the state transitions to what Governor Roy Cooper has called a “clean energy economy,” community colleges across the state are boosting programs to provide trainings and certifications in advanced manufacturing to prepare workers for these new jobs coming to the state.

For instance, North Carolina’s strategic economic development plan, First in Talent, highlights the importance of preparing workers for roles in the clean energy sector. And last year, North Carolina A&T State University announced that it had received a $23.7 million grant from the United States Department of Commerce to build and launch a clean energy workforce training program.